Comparison of Sanctions Circumvention Detection Tools in the Market of European and Chinese Financial Institutions

Economic sanctions are measures taken by countries or international organizations to put pressure on other states or their governments with which disagreements or conflicts arise. Such sanctions are applied through restrictions and prohibitions in trade, finance and other economic sectors. In the twenty-first century, economic sanctions have become one of the most common foreign policy tools used by countries to achieve their political goals. Economic sanctions can be circumvented or ineffective if alternative channels and arrangements for trade and cooperation exist, otherwise known as sanctions circumvention tools. Bypassing economic sanctions is an action that negatively affects economic development and causes significant damage. The use of such a strategy can have serious consequences and negatively affect relations between countries, as well as the well-being and lives of people. As part of the research for this graduate thesis, we will focus on examining various tools for identifying economic sanctions circumvention and their effectiveness in achieving their goals for the European Union and the People's Republic of China. The historical practice of the countries under study will be analyzed in order to highlight the most successful approaches and ways of managing sanctions policy. During the comparison, the advantages and disadvantages of the sanctions policy of the objects under study will be identified, and recommendations will be given to improve the effectiveness of the use of tools to detect circumvention of sanctions. This study aims not only to provide theoretical analysis, but also to provide a practical basis for further action in the international arena. The facts listed above make the study relevant and significant for developing strategies to counter the circumvention of economic sanctions in the modern world. The purpose of this work is to determine the features of the sanctions policies of the European Union and the People's Republic of China in order to identify shortcomings and proposals for improving the effectiveness of the measures taken. To achieve this goal, it is necessary to solve the following tasks: 1. Characterize sanctions as an instrument of economic policy, determine their types and functions; 2. Study the tools for circumventing sanctions in political economy; 3. Conduct an analysis of the sanctions policies of the People's Republic of China and the European Union; 5. Identify the main similarities and differences in the tools for detecting circumvention of sanctions of European and Chinese financial institutions; 6. Propose the main directions for improving sanctions policy for the European Union and the People's Republic of China; 7. Assess the effectiveness of the proposed measures to improve the sanctions policy of the European Union and the People's Republic of China. The practical significance of this work lies in the fact that the research will make a significant contribution to the development of state strategies in the field of sanctions policy, which can lead to a more stable and predictable regulation of international relations.