President Vladimir Putin of Russia has stated that the Western sanctions placed on Russia as a result of its invasion of Ukraine have backfired.
On Monday, Putin stated that the West “expected to quickly upset the financial-economic situation, provoke panic in the markets, the collapse of the banking system and shortages in stores.”
He went on to say that “the strategy of the economic blitz has failed” and instead resulted in a “deterioration of the economy in the West.”
During a video chat with key economic authorities, Russian President Vladimir Putin made broadcast remarks.
Since sending soldiers into Ukraine on February 24 in what it terms a “special military operation,” Western nations have placed unprecedented sanctions on Russia’s business and financial systems.
Vladimir Putin said that “Russia has withstood the unprecedented pressure,” claiming that the ruble has risen and that the country’s first-quarter trade surplus was a record $58 billion.
Moreover, Putin highlighted a substantial increase in consumer prices in Russia, stating that they increased by 17.5 percent year on year in April and ordered the government to index salaries and other payments to mitigate the impact of inflation on earnings.
Putin stated that Russia should utilize its budget to assist the economy and liquidity in conditions of declining loan exercise, despite the fact that the central bank’s rate reduction will make lending more affordable.
Under the current circumstances, he also stated that Russia should accelerate the use of national currencies in foreign trade.
According to the World Bank, Russia’s Economic growth would contract by more than 11% this year.