Cover Osteuropa 1-3/2022

In Osteuropa 1-3/2022

Sanctions and Reactions
The Impact on Russia’s Economy

Roland Götz

Deutsche Fassung


In reaction to Russia’s attack on Ukraine, the European Union, the United States and other countries imposed numerous economic sanctions on Moscow between late February and mid-March 2022. The most serious ones are those targeting Russia’s commercial banks and central bank. The trade sanctions, on the other hand, have an effect only on special areas. Formal sanctions are being reinforced by many Western banks and companies that have of their own free will suspended their business activities, temporarily or permanently. Rating agencies expect that Russia will soon be unable to service its international debts. Share prices of Russian companies have plummeted on stock exchanges, and inflation has risen. Real consumer spending and gross domestic product will fall sharply in 2022. In the medium term, Russia’s central bank assesses the country’s prospects for economic growth as low. An oil embargo imposed by the EU could harm them further and would have fewer repercussions for EU countries than a gas embargo.

(Osteuropa 1-3/2022, pp. 197–218)