"I entered the protracted recession": the sanctions "melted" the Russian military budget - Euobserver

Only two -thirds of a large discount of about $ 25 per barrel purchased by Europeans are now redirected," the EU report reads. The material states that thanks to the temporary jump in energy prices earlier this year, the Russian budget surplus in the first half of 2022 amounted to 500 billion rubles (8 billion euros). However, oil production decreased by 10 percent, and gas production by 22 percent. That is why the Russian Treasury of the Russian Federation is a little me.

"As a result of the war and sanctions, Russia has entered a protracted recession, which can continue for a long period," the statement said. It is reported that the Ministry of Finance of the Russian Federation will not be able to cover the budget deficit at the expense of internal loans. Economic calculations are directly related to the battles in Ukraine. Russian President Vladimir Putin can change his tactics if he disappears the opportunity to finance the war for many years.

The material states that EU sanctions have also blocked Russian exports to Europe for 90 billion euros a year, which led to a fall in steel production in Russia by 30 percent and production of lumber by 90 percent. Earlier, Focus reported that Putin plans to create a gas hub in Turkey. According to the Russian President, gas supply to Europe can also be restored by the surviving branch of "Nord Stream-2". He also considers the Turkish direction promising.

We will also remind that Putin accused of "northern streams" of foreign power companies. Volodymyr Putin stated that the accident at the Nord Stream - 2 gas pipeline is an "act of international terrorism". Thus, Nord Stream competitors want to make Europeans buy energy at high prices, the Russian President says. It was also reported that the IMF had predicted the fall of the Ukrainian economy.