JRL NEWSWATCH: “Russia’s economy can withstand a long war, but not a more intense one; Its defences against Western sanctions can only stretch so far” – The Economist
“… Russia’s bureaucracy … has found ways to withstand the fusillade of sanctions …. suppl[ying] enough men and materiel to propel Russia’s invasion. … without a sharp decline in living standards, which might prompt popular unrest. But any attempt to escalate the conflict would inevitably undo these successes. Russia is having to cope with the broadest array of sanctions ever imposed on a big country, including on individuals associated with the war, on financial transactions involving Russian entities, on exports of certain goods to Russia and on imports of most goods from Russia. Yet this economic assault has yielded disappointing results, in part because there were always big holes in the sanctions regime …. Putin should be able to maintain the war effort for some time …. Expanding it, however, is another matter. … [I]t is hard to see how [] Putin could do that while maintaining economic stability and preserving living standards. The first problem would be raising money fast. …”
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