What are sanctions and how do they work?

Following the UK’s decision to impose sanctions on Israeli settlers and threaten sanctions on Israel alongside Canada and France. Its important to see how they operate and what they do. Sanctions are tools of foreign policy used by countries or international bodies (like the UN or EU) to pressure governments, groups, or individuals into changing behaviour without using military force. Here’s a clear breakdown of how they work, who they target, and how they apply pressure:


How Do Sanctions Work?

Sanctions restrict or prohibit economic, financial, or diplomatic interaction with a target. They are meant to:

  • Punish bad behaviour (e.g., human rights abuses, nuclear weapons development)
  • Deter future violations
  • Force political change (e.g., ending a war, releasing political prisoners)

They can be:

  • Unilateral (by one country, like the UK or US)
  • Multilateral (by the UN, EU, or group of countries)

:bullseye: Who Do Sanctions Target?

There are 3 main types of targets:

Governments and State Entities

These sanctions aim to cripple a country’s economy or strategic sectors. They might include:

  • Freezing state assets held abroad
  • Blocking access to global banking systems (like SWIFT)
  • Banning trade in weapons, oil, or technology

Example: Sanctions on Russia’s central bank after the Ukraine invasion.


Individuals and Elites

Also called “targeted” or “smart” sanctions, these go after:

  • Politicians, military leaders, oligarchs
  • Human rights abusers
  • Terrorist financiers

Punishments include:

  • Asset freezes
  • Travel bans
  • Prohibition on doing business with them

Idea: Isolate key figures so they pressure the regime from within.


Sectors and Companies

Sectoral sanctions target parts of a country’s economy:

  • Banking
  • Energy (e.g., oil & gas)
  • Technology
  • Arms or aviation industries

This blocks revenue and tech needed for development or war.

Example: US sanctions on Chinese tech firms like Huawei over surveillance and security risks.


How Do Sanctions Put Pressure on Governments?

Sanctions work by:

:gear: Economic Pain

  • Disrupting trade and investment
  • Causing inflation, shortages, and currency collapse
  • Making it hard to access international finance

This strains the government’s budget, limiting its ability to govern, pay the military, or fund public services.


:busts_in_silhouette: Political Pressure

  • Targeted sanctions aim to divide the regime: if elites lose access to wealth and travel, they may turn on the leadership
  • International isolation reduces legitimacy

:speech_balloon: Signalling

Even if sanctions don’t cause immediate change, they send a clear international message of condemnation.


:warning: Do Sanctions Always Work?

Not always. They can:

  • Strengthen authoritarian regimes by creating a “siege mentality”
  • Hurt civilians more than elites
  • Be bypassed with help from allies (e.g., North Korea uses smuggling networks)

They work best when:

  • Broadly supported (multilateral)
  • Targeted and well-enforced
  • Combined with diplomacy or incentives for compliance
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