The effect of sanctions placed on Moscow by the United Kingdom, the United States, and the European Union is disastrous, with the Kremlin trying to keep the economy afloat. Since the invasion of Ukraine on February 24, Moscow has been severely harmed by actions that have been gradually ratcheted up.
It has economically isolated Russia, preventing it from accessing foreign currency and preventing its banks from using the SWIFT payments system, which speeds up transactions between countries.
Western corporations have also left the nation, with commerce in Russia halting.
After more than six weeks of fighting in Ukraine, Western diplomats believe strong measures are harming Moscow.
“Projections for GDP growth vary from -7 to -12 percent.”
“That would imply that it is worse than the 1998 financial catastrophe that devastated Russia, but also worse than the 2008 financial disaster for them.”
The Russian stock, bond, and currency markets all crashed in 1998, resulting in the “Ruble crisis.”
As a result, the Ruble was devalued and Moscow defaulted on its obligations.
The GDP contracted by 5.3 percent, and nationwide demonstrations erupted.
Western allies have been working together to guarantee that sanctions on Vladimir Putin and his associates have the greatest possible impact.
Prime Minister Boris Johnson has stated his goal to make Russia a “pariah” on the international stage as retaliation for its intrusion into Ukraine.
The debilitating impact of the sanctions on the Russian economy is supposed to persuade Putin and the Kremlin to reconsider going to war.
Today, No. 10 signalled that Mr. Johnson is willing to impose more sanctions on Moscow in light of new proof of crimes in Ukraine.
There have been claims of mass graves being uncovered in locations where Russian soldiers have retreated from surrounding Kyiv, as well as reports of the military employing rape to terrorise the civilian population.
The sights over the weekend, according to the Prime Minister’s official spokesman, were “barbaric.”
“These are despicable attacks against innocent civilians, and they are yet more evidence that Putin and his army are committing what appear to be war crimes in Ukraine, and they certainly leave us in no doubt that it is entirely right to go further on sanctions, defensive military aid, and all other measures to put pressure on Putin and his regime to turn back and stop this war,” he said.
“Putin has yet to demonstrate that he is serious about diplomacy,” Foreign Secretary Liz Truss remarked. A robust stance from the UK and our allies is required to improve Ukraine’s negotiating position.
