Putin has touched upon the most sensitive point in Europe.
(Baonghean.vn) - According to Bloomberg, Russian President Vladimir Putin has been able to hit Europe's most pressing issue - energy, with rising fuel prices leading to high inflation and economic recession in the West.
“Despite the fact that the European Union (EU) has imposed the strictest restrictions against Russia, the number of compromises is increasing, from concessions on oil supplies via pipelines to the removal of Patriarch Kirill—the head of the Russian Orthodox Church—from the sanctions list,” the publication stated. As highlighted in the article, the economic war against Russia has divided the EU, as countries “are tired of sanctions.”
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| Russian President Vladimir Putin. Photo: AFP |
Bloomberg notes that “financial weapons” are an imperfect tool, acting selectively and leading to unforeseen consequences. Bloomberg Economics estimates that Russia’s oil and gas revenues will be around $285 billion this year.
"Add to that other items, and that figure accounts for more than the $300 billion in Russian foreign exchange reserves frozen due to sanctions," the author of the article summarizes.
Western countries are facing economic problems – soaring energy prices, high inflation – due to sanctions imposed against Russia following its launch of a special military operation in Ukraine. The restrictions primarily affect the financial sector and the supply of high-tech products, but in Europe, there is growing opposition urging a reduction in dependence on Russian energy. The Kremlin calls these actions an economic war, but notes it is prepared to deal with such developments.
