Soon Russia’s model of existence will be identical to the Soviet Union, existence behind the Iron Curtain, in an economic vacuum

Russia has attacked Ukraine and is suffering enormous losses not only at the front but also on its own territory. In addition to the thousands of their fellow citizens who died in Ukraine, the Russians have already received a devaluation of the ruble, rising interest rates on loans and mortgages, inflation, and physical isolation from the entire civilized world.

The next step is rising consumer prices and a deficit.

In a few days, Russia’s economy fell to the level of the 90s. Russia’s model of existence will soon be identical to that of the Soviet Union. Life behind the Iron Curtain, no opportunity to move freely around the world, economic vacuum. The economy will work for the domestic consumer, producing low-quality goods, there will be a shortage of imported goods, the ruble will lose its value, and the main demanded export goods will be oil and gas.

The situation on March 18, 2022

– A number of McDonald’s franchises in Russia continued to operate despite the company’s decision to temporarily close. In total, “on the other side” there are three franchises, each of which is an independent legal entity

– Raiffeisen Bank International is considering leaving Raiffeisenbank’s subsidiary in Russia, RBI Chairman Johann Strobl said, Interfax-Ukraine reports. “The war in Ukraine is forcing RBI to reconsider our position in Russia. Therefore, we are considering all strategic options for the future of Raiffeisenbank Russia, including a detailed planned exit from Raiffeisenbank Russia,” Strobl was quoted as saying.

– Russian ships will not be able to go to sea – they have been disabled from updating navigation maps. Until recently, they were supplied by the Lloyd’s Voyage Rus Company, whose Russian office is registered in St. Petersburg. It has already officially informed Russian customers that it will stop selling and updating all its products and services. “Cartographic products have an urgent and perpetual license. About 99% of vessels use an urgent license. The next payment for the use of a cartographic product must be made by a certain date. In this case, new corrections are received throughout the year. These updated products will be released after that. What will happen without the renewal of electronic maps? The port inspectorate will not release the ship. and outside the Russian Federation. In the latter case, the ship will not be able to return home, “said Alexei Migalin, general director of the Russian company NavMarin.

– Amway is closed in Russia.

– Putin attended a concert in Moscow, organized in honor of the annexation of Crimea to Russia and the war in Ukraine. He addressed the Russians with a speech in a jacket from the Italian brand Loro Piano for one and a half million rubles.

– Russian media report that YouTube in Russia may be blocked today. Or do it by the end of next week. 

– Lithuania, Latvia, Estonia and Bulgaria are sending Russian diplomats. A total of 17 Russians are returning home because of “activities incompatible with diplomatic status.” 

Today, the European Parliament banned Russian and Belarusian diplomats from entering parliamentary residences in Strasbourg and Brussels.

– Hundreds of containers with cargo for Russia have been blocked in Belgium. In the Belgian ports of Antwerp and Zeebrugge were blocked about 1.5 thousand cargo containers destined for shipment to Russia, reports DH. At the same time, the customs office made it clear that the containers can be sent to destinations in Russia only after the interested companies prove that the goods are not subject to European sanctions.

– Lithuania has restricted the export of cash euros to Belarus and Russia. Now, individuals traveling to Belarus or Russia from Lithuania can carry no more than 60 euros per person.

– Sanctions imposed on Russia in response to the military invasion of Ukraine will inevitably lead to rising prices and the fall of the Russian economy.

– About 300 foreign companies have stopped working in Moscow, – the mayor of Moscow Sergey Sobyanin. And according to Jeffrey Sonnenfeld, a professor at the Yale School of Management, more than 400 foreign-invested companies left Moscow after February 24.

– The rating agency S&P downgraded Russia’s sovereign credit rating to category C. It indicates that the default has not yet occurred, but it is more than likely. 

– The Netherlands froze Russian assets by more than 200 million euros.

– The American bank BNY Mellon has curtailed investments in Russian securities and stopped new investments in Russia. 

– Large household appliances in Russia have risen in price by 50%. Its demand increased 2.3 times (123%). The greatest increase in price and demand shows large kitchen appliances. In second place washing machines – the average cost of the model WLP20265 from Bosch increased by 86%. In addition, the demand for air conditioners increased by 239.5%, and the price of some models increased by 52%.

– The Polish government has announced a program of “de-Russification of the economy.” “We represent the first part of the anti-Putin shield. We will deal with the de-Russification of the Polish and European economies,” Polish Prime Minister Mateusz Morawiecki told a news conference on Friday. He explained that the “de-Russification of the economy”, in particular, will be the abandonment of Russian energy. “Refusal of Russian gas, Russian oil, Russian gas,” said the Polish prime minister.

– Russia’s Sberbank has stopped making transfers of individuals in five currencies due to sanctions: in US dollars, pounds sterling, Danish and Swedish kroner, Canadian dollars.

– The European Space Agency has refused to cooperate with Roscosmos. The European Space Agency (ESA) will no longer work with Roscosmos to develop ExoMars’ mission to launch this year. Due to the Russian invasion of Ukraine, ESA refused to partner with the Russians, the agency said in a statement, European Truth reported .

– The oldest US bank has stopped investing in Russian securities. Bank of New York Mellon has decided to stop investing in Russian securities. “BNY Mellon has suspended new banking operations in Russia, as well as suspended investments in Russian securities,” the document said. It is noted that the refusal to purchase Russian securities will reduce the bank’s income by $ 100 million in the first quarter of 2022. In addition, BNY Mellon will donate $ 1 million in humanitarian aid to Ukrainian refugees.

– Rising prices in Russia.

– Swedish port workers refused to service Russian ships. The boycott applies to ships going to and from Russia, as well as chartered ships.

– The world’s largest glass manufacturer, the Japanese company AGC has decided to stop investing in Russia, as well as reduce the supply of its products to the Russian market.

– Losses of Russian banks from the growth of the key rate to 20%, at which they had to sharply increase deposit rates are 200 billion rubles.

– The largest Chinese manufacturer of professional equipment and electronics (CCTV cameras, etc.), Dahua, told Russian partners that from March 24, all supplies to Russia will be suspended. Everything that will not be sold to buyers in Russia until March 24 and will remain in warehouses in Russia, Dahua will take back.

– Italian tire manufacturer Pirelli is suspending investments in the Russian market (except for safety) and plans to limit the operation of the two plants.

– The rating agency S&P downgraded Russia’s sovereign credit rating to SS. This is the third bottom category of the rating, which means that the default has not yet occurred, but it is more than likely.

– Apple will not sell the new iPhone SE and other devices from the spring presentation in Russia. 

(C)CENSOR.NET 2022