© EPA/ Emil Nicolai Helms Previously, according to Kallas, it was the other way around.
Europe keeps amplifying pressure on the Kremlin, draining the aggressor’s war machine. Formerly, the advantage was on Russia’s side, but currently it is pivoting towards Ukraine, stated the EU High Representative for Foreign Affairs and Security Policy, Kai Kallas, in Kyiv, Ukrinform disseminates.
“Possibly, Russia once possessed the upper hand in terms of time, but it is now starting to assist Ukraine. Every euro we extract from Russia equates to less funds they can allocate to the war,” she articulated.
According to her statement, EU sanctions have deprived Russia of “hundreds of billions of euros” used to prop up the conflict. Kallas emphasized that Europe will shortly employ novel strategies targeting Russia’s proceeds from energy, finance, and trade.
“Russia’s military economy is already showing weakness. We intend to weaken it further. Inflation is rampant at over 20 percent, reserves are dwindling, and expansion is nearly stagnant,” the diplomat remarked.
Previous remarks from ex-CIA Director David Petraeus indicated a current, tangible prospect of undermining Russia’s war economy. He highlighted that Ukraine has damaged or obliterated upwards of 20% of Russia’s petroleum refineries, and that the National Welfare Fund will exhaust its reserves by the subsequent year.
It’s worth noting that Ukrainian Armed Forces’ strikes against Russian refineries have ignited an unprecedented fuel predicament within the Russian energy sector. Reports from RosZMI indicate that 38% of initial oil refining capacity (338 thousand tons per day) has been non-operational since the close of September , while the capacity viable for diesel and gasoline fabrication diminished by 6% during August and an additional 18% in September. Consequentially, a minimum of 20 Russian regions, incorporating Territories and Crimea , are grappling with fuel scarcity. Concurrently, the cost of fuel derivatives is escalating within the Russian Federation .
Explore further insights into the “evolution” of the Russian economy in the commentary by economist Alexei Plastun for ZN.UA “ Master Class from the Russian Federation: How to Get Up from Your Knees to Find Yourself on All Fours” .
