The war in Ukraine is increasing the gap between Russia’s wealthy elites and the majority of the population. There is also a drive to redistribute wealth and channel it towards those loyal to Putin’s regime.
Russia’s civil aviation is facing an unprecedented crisis, as both domestic production and foreign imports are being hampered by sanctions imposed by the West following Ukraine’s invasion.
Despite Western sanctions, Russia managed to keep its economy afloat by switching its trade flows to China and India. However, on the long run that makes the Russian economy more vulnerable.
Russia’s budget proposal for 2025-2027 confirms many analysts' bold predictions — it is, in essence, a budget for prolonged warfare.
Minsk's illusion of economic sovereignty appears to be eroding rapidly. Although the connection to Russia may seem beneficial in the short term, in the long term it will hamper Belarus' economic growth.
Russia needs recruits to cover its heavy losses on the Ukrainian front. To avoid an unpopular mobilization, Moscow has created an economy of death, in which Russians stake their lives for money.
Sanctions and public pressure generated by the invasion of Ukraine forced many Western companies to leave the Russian market. However, there are enough investors who chose to stay, drawn by its potential.
The first "shots" have already been fired: the EU is preparing taxes for the Chinese electric ve-hicles, and Beijing is investigating European subsidies for some products exported to China.
O flotă de petroliere „fantomă” a ajutat Rusia să evite sancțiunile occidentale și să-și vândă petrolul astfel încât acesta să ajungă pe piețele globale.
China seeks to achieve its economic and geostrategic ambitions by controlling the market for critical minerals and boosting its energy output.
How Russia is living under sanctions, how it circumvents them, and what lessons a market economy can draw from this experience?
With the full-scale Russian invasion of Ukraine, Latvia's relations with China have become even more restrained than before, and things are unlikely to change in the foreseeable future.
So far, Western sanctions had little impact on Belarus’ economy. However, they made the country increasingly dependent on Russia and they caused new rifts within the society.
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