It will take Russia ten years to recover from sanctions.

There are people who have the courage to deny it put it in in Russia. He is German Gref, head of Sberbank, the largest Russian bank. According to the chief executive, the Russian economy could take a decade to recover from the severe sanctions imposed on the country after the invasion of Ukraine in February. German Gref, head of Sberbank, Russia’s largest bank, said it could take nearly 10 years to return to pre-sanctions levels as the country remains cut off from half of its trade.

Ukraine and Putin: Crazy sanctions against Russia have not worked

A clash between Putin and the head of Sberbank, what the executive said

Gref estimated that countries that cut ties with Russia are responsible for 56% of their exports and 51% of their imports, crippling the country’s economy. “This is a threat to 15% of the country’s GDP, and most of the economy is under heavy criticism,” CEO Gref said, speaking at Russia’s annual International Economic Forum in St Petersburg.

Multinational companies flee Russia

Dozens of multinational companies withdrew from Russia following the invasion of Ukraine, while a slew of countries cut off Russia’s access to the international financial network and confiscated property, yachts and private planes belonging to allies of President Vladimir Putin. The economic isolation imposed on Russia caused the stock market and the ruble to crash, the cost of consumer goods soared and the government to impose strict capital controls.

Tense in the Baltic Sea, a Russian ship invades Danish waters. Copenhagen: “Russian bullying tactics are unacceptable”

Russia’s central bank raises interest rates

The Russian Central Bank also raised the interest rate from 9.5% to 20%, before lowering it again in June. Because of the sanctions and “if we don’t do something, it could take a decade to get the economy back to 2021 levels,” Gref said. The CEO also called for structural reforms of the Russian economy. Russia has suffered the rupture of its main logistical arteries: Russian ships have been denied entry to EU ports, while sanctions have closed airspace over Europe to Russian airlines. And according to Gref, cargo shipments fell sixfold.

Leave a Comment