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| Photo Credit: AP. |
Russian President Mr Vladimir Putin has dismissed the series of sanctions imposed against his country over its invasion of Ukraine as “mad and thoughtless”. The Russian leader said at a forum in St Petersburg that "the economic blitzkrieg against Russia had no chance of succeeding from the very beginning", according to the BBC.
Severe
economic restrictions have been imposed on Russia by coordinated responses from
the West over Russia’s war of attrition against its next door neighbor but the
Russian leader dismissed any thought that the sanctions are harmful saying the
restrictions were "more harmful" to those who imposed them, according
to the BBC.
Mr Putin who
was speaking at the annual St Petersburg International Economic Forum claimed
the EU could lose more than $400bn because of its sanctions against Russia,
adding that the 27 member bloc is experiencing increased inflation as a result
of the measure.
The BBC reported
that Kremlin officials have warned that the Russian economy is suffering serious
damage from the sanctions. The Central Bank Governor Elvira Nabiullina said on Thursday
that “15% of the country’s GDP” was threatened by the international response to
Russia’s war of aggression.
The Central
Bank boss painted a gloomy picture about the prospects of imminent recovery and
told delegates at a conference in St Petersburg that "it's obvious to
everyone that it won't be as it was before", according to the BBC.
"External
conditions have changed for a long time indeed, if not forever," Ms
Nabiullina said.
In a similar
development the head of Russia’s largest lender Sberbank, said it could take
more than a decade for Russia’s economy to return to 2021 levels.
Some Russian
businesses who are concerned about Russia’s gloomy economic prospects are
increasingly refocusing their efforts on overseas operations.
Mr Putin
sought to reassure them that all is well saying "Invest here. It's safer
in your own house. Those who didn't want to listen to this have lost millions abroad,"
according to the BBC.
The more
than three months war has cost the Kremlin thousands of its personal in
Ukraine. Mr Putin began invading Ukraine on the 24th of February 2022 accusing
the country of moving too close to NATO.
The war has
lingered more than Mr Putin had anticipated and Russia is getting even more
frustrated with the slow progress it is making. Western Countries responded by
imposing severe punitive sanctions against Russia and are providing military
aid to Ukraine to fight off the invaders. The EU is steadily loosening its
dependence on Russia gas and is exploring other sources for its gas and oil
supply.