Indian-American economic advisor Daleep Singh, the bureaucrat leading US President Joe Biden's economic sanctions on Russia, will be in New Delhi on March 30 and 31. "Singh will consult closely with counterparts on the consequences of Russia's unjustified war against Ukraine and mitigating its impact on the global economy," said Emily Horne, spokesperson of the National Security Council of the White House.
"In New Delhi, Singh will continue the US administration's ongoing consultations with India, and advance a range of issues in the US-India economic relationship and strategic partnership. He will meet Indian officials to deepen cooperation to promote inclusive economic growth and prosperity, and a free and open Indo-Pacific," Horne said.
Who is Daleep Singh?
Singh is leading the efforts of the Biden administration to impose punitive sanctions on Russia over its actions against Ukraine. Singh was born in Maryland and worked as executive vice president and head of the markets group at the Federal Reserve Bank of New York in the past, as reported by The Economic Times. According to the publication, Singh was also deputy assistant secretary of the Treasury for international affairs and acting Assistant Secretary of the Treasury for Financial Markets in the Obama administration; Singh's great-granduncle, Dalip Singh Saund, was the first Asian-American elected to Congress.
What was Singh's plan vis-a-vis Russia? A public address by Singh earlier this month can clarify things on that front. “Russia’s long previewed invasion of Ukraine has begun and so too has our response. Today, the president [Joe Biden] responded swiftly and in lockstep with allies and partners. The speed and coordination were historic. It took weeks and months to mount a decisive response,” Singh had told reporters earlier this month.
Singh said that after consultations overnight with Germany, Russia’s Nord Stream 2 natural gas pipeline will not become operational. That is a $11 billion investment in a prized gas pipeline controlled by Russia that will now go to waste, and it sacrifices what would have been a cash cow for Russia’s coffers, he said. It is not just about the money, this decision will relieve Russia’s geostrategic chokehold over Europe through its supply of gas, and it is a major turning point in the world’s energy independence from Russia.
“Second, we have demonstrated the potency of our financial sanctions and make no mistake, this is only the sharp edge of the pain we can inflict. In lockstep with our allies, we’re fully blocked from the global financial system, the fifth largest Russian financial institution, VEB, is a glorified piggy bank for the Kremlin that holds more than $50 billion in assets. We’re also fully blocking Promsvyazbank, this is a bank that holds $35 billion in assets that finances the activities of the Russian military,” he told reporters.
Singh said that a full block means these banks can no longer make any transactions with the US nor with Europe as Europe matched US actions, and their assets in America’s respective financial systems will be frozen.
“And let me be totally clear, no Russian financial institution is safe if the invasion proceeds, we are ready to press a button to take action on the two largest Russian financial institutions, which collectively hold almost USD 750 billion in assets for more than half of the total in the Russian banking system,” Singh asserted.
Fourth, the US has fully sanctioned a group of Russian elites and their family members. These individuals share in the corrupt gains of the Kremlin and they will now share in the pain, Singh said.
Other Russian elites and their family members are now on notice that additional actions could be taken on them as well, he had said.
“I also want to take a minute to address a key part of the president’s speech on energy markets. We were deliberate to direct the pain of our sanctions towards the Russian economy, not ours. None of our measures are designed to disrupt the flow of energy to global markets and we are now executing a plan in coordination with major oil producers, and major oil consumers to secure the stability of global energy supplies,” he said.
“Third, together with our allies, we’ve also cut off the Russian government, the Russian Central Bank and Russian Sovereign Wealth Funds from new financing from the US and Europe. The Kremlin can no longer raise money from the US or Europe and its new debt can no longer trade on US, or European financial markets,” he had then said.
