But the economic assault is yet to stop the Russian President after almost two weeks of radical steps designed to crash his currency and paralyse his central bank. These steps are certain to bring severe financial hardship to millions of ordinary Russians,with hyperinflation in prospect,yet success depends on whether this pain can force Putin to relent,if not retreat.
Yet,the reality is that Australia has few ways to add to this pressure. It is doing less than in recent conflicts:there are no Australian boots on the ground,aircraft in the sky or ships nearby. This reflects the essential calculation,which is cold but correct,that NATO and its allies must not go into direct combat with Russian forces and risk turning this into a nuclear confrontation.
It is on the economy,then,that Australia can bring some pressure to bear. Any pressure is worth considering when Australia is a huge energy supplier with the capacity,in theory,to reduce some of Putin’s leverage. This has been on federal cabinet’s agenda for good reason.
Putin showed no sign of being deterred after the European Union (EU) and the United States froze the Bank of Russia’s international reserves and cut the country out of the global banking network. He sent more troops into Ukraine after the February 27 sanctions,according to Pentagon briefings,and he ordered more missiles into Ukrainian cities:this measure of horror stood at 320 missiles from the day of the invasion to the day of the sanctions;at last count it was up to 625.
The war is now a test of whether banks stop tanks. The West has launched an experiment in real-time to see if economic war can defeat an army of more than 150,000 troops. History shows that stronger economies win wars. Experience shows the victory does not come quickly.
The latest step,a US embargo of Russian oil,gas and coal,shows the willingness to go further but also,crucially,the limits of what is possible. US President Joe Biden can act in the confidence that the US is an oil exporter in net terms.