It was a unique and difficult step which is compatible with the country's traditional neutrality, Swiss President Ignazio Cassis said in a statement read out in three languages - Italian, German and French - during a news conference attended by four of the government's seven members on Monday.
Cassis called Russia’s invasion of Ukraine an “attack on sovereignty, freedom, democracy and the population and institutions of a free country”, which also affected Switzerland. “Playing into the hands of an aggressor is not neutral,” he added.
"The defence of peace and security and respect for international law are values that Switzerland, as a democratic country, shares with its European neighbours," he said.
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Switzerland has blocked with immediate effect the assets of 363 individuals and four corporate entities. This includes Russian President Vladimir Putin, Prime Minister Mikhail Mishustin and Foreign Minister Sergei Lavrov.
Also on Monday, Switzerland followed suit with other European countries in closing its airspace to Russian flights.
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In an initial move last week, the Swiss government imposed travel restrictions on sanctioned Russians and had forbidden Swiss banks from engaging in any future financial business with these individuals and companies.
Swiss support SWIFT ban
"The ban on imports, exports and investments concerning Crimea and Sevastopol, which has been in place since 2014, has been extended to the Ukrainian regions of Donetsk and Luhansk, which are no longer under the control of the Ukrainian government," read a government statementExternal link.
Finance Minister Ueli Maurer played down links between the Swiss and Russian financial centres, which he described as "very small". He added that Switzerland would support an international decision to cut Russian banks off from the global SWIFT bank messaging system.