More US sanctions to include ban on investment in Russia

"This will include a ban on all new investment in Russia, increased sanctions on financial institutions and state-owned enterprises in Russia, and sanctions on Russian government officials and their family members," she said, adding that "these measures will degrade key instruments of Russian state power," TASS reported.

Washington expects the sanctions to "impose acute and immediate economic harm on Russia," Psaki said.

The United States is trying to put Russia in a situation where it will have to choose between default or draining its remaining foreign currency reserves, Psaki has told.

"The goal is to force them to make a choice," she said when asked whether the US goal at this stage was to trigger a sovereign default in Russia.

"Russia does not have unlimited resources - especially now, given the crippling sanctions we’ve put in place - and they are going to be forced to choose between draining remaining valuable dollar reserves <…> or default."

The European Union has also proposed sanctioning two daughters of President Vladimir Putin, according to diplomats familiar with the plan, a move that would add the Russian leader’s closest family members to a growing list of individuals sanctioned after the war in Ukraine, Wall Street Journal also reported.

The Biden administration is expected to announce sanctions on Mr. Putin’s daughters this week, US officials said.

RHM/PR