G-7 nations to announce import ban on Russian gold as Moscow sanctions widen

The move would add to a series of punitive penalties imposed by the West on Russia since its onslaught of Ukraine began on Feb. 24.

The leaders of the G-7 nations will announce a ban on Russian gold imports in response to Moscow's invasion of Ukranian.

Biden confirmed earlier reports of an imminent ban as the leaders met in Germany for the G-7 summit.

He said that the United States had imposed "unprecedented costs" on Putin to deny him the revenue he needed to fund his war against Ukraine.

Russian gold is a major export that rakes in tens of billions of dollars for Russia and will be banned by the G7 together.

There have been a number of sanctions imposed on Russia by the West since the beginning of the Ukrainian crisis. The sanctions aim to crush the Russia economy and include curbs on oil and gas imports and trading with Russians. The U.S., Canada and their European allies agreed in February to remove key Russian banks from the interbank messaging system.

It was confirmed by the U.K. government on Sunday that the ban on Russian gold imports would apply to newly mined gold and refined gold.

According to the latest data from the World Gold Council, Russia is the second largest producer of gold, with 10% of the world's output. The central bank of Russia has tripled its holdings of gold since it was annexed in 2104, according to a report.

The president and other G-7 leaders will continue to work to hold Putin accountable according to a senior U.S. administration official.

The Russian ruble hit its strongest level in seven years last week despite the sanctions against the Kremlin.

The ruble hit 52.3 to the dollar on Wednesday, its strongest level since May 2015, and is being cited by the Kremlin as proof that Western sanctions aren't working.

Russia's central bank is trying to weaken the ruble to make it less competitive in the export market.

This article was written by CNBC'sNatasha Turak.