When the war started it was seizure-this and sanction-that. I’ve read that $350B in Russian assets were seized and held, while major companies exited the Russian market, the ruble crashed, and inflation rocketed.
Meanwhile the cost of the Russian war must be astronomical to maintain, imports/exports have halted with Europe, there’s no financial aid to Russia (that I’m aware of) and multi-billion dollar resource supplies were cancelled.
All this, and Russia seems to still be having a good old time. Russians are on holidays en mass, the country is buying up arms and fossil fuels like its church Sunday, and their war machine still powers away and is prepared to keep fighting for a decade if it has to.
How? How does a country take that much of a financial beating and still be thriving? Where is the point of being broke and not being able to fund a war anymore?
They are still selling literal boat loads of Oil, just not as much to Europe.
they are selling it to countries which then sell it to europe so we just pay more for the same thing but can be happy we do definitely not fund the russian invasion :D :D :D
As I understand it, China/etc can buy the oil cheaper because there’s no competition from Europe anymore. Then they can sell it to us more expensive because we don’t have an alternative. So China/India profit from it, while Europe and especially Russia lose in comparison to how it was before. This is not ideal, but still better than supporting Russia by buying from them directly.
Please someone correct me who knows how that actually works…
They’re still selling it to europe, but because of the sanctions, Russia sells it to India and then India sells it to Europe.
Basically all these sanctions did was add a middle man for Europe making it more expensive but still financially supporting Russia.