In this sentence, "to ban the 'entry...'" is a to-infinitive phrase. Only certain verbs can be followed by a to-infinitive phrase. These are called catenative verbs.
Ex:
Agree is a catenative verb
They agree to ban it ✓
You can find lists of catenative verbs all over the internet. This one looks pretty useful: https://en.wiktionary.org/wiki/Appendix:English_catenative_verbs#Followed_by_a_gerund
If you study that list, you'll notice that allow actually does appear. However, there's another problem. Some catenative verbs can be followed by to-infinitives, while others must be followed by gerunds. Allow is one of the latter; it must be followed by a gerund (or a noun or pronoun).
Ex:
They don't allow smoking in here ✓
They don't allow to smoke in here ❌
And the final complication, allow actually can be followed by a to-infinitive phrase, but only when allow is used passively.
Ex:
They aren't allowed to smoke in here ✓
So, the sentence could be rewritten to remove it: "The cabinet used the crisis law, which allows banning the 'entry...'" but this wouldn't be as natural.
You could also use the passive form of allow: "The cabinet used the crisis law, by which it is allowed to ban the 'entry...'" But in that case, we've just moved the "it" not removed it.