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“Russia can afford to shut Europe off gas for a year” — Capital Economics

Ukraine (bbabo.net), - "Russia can afford to shut Europe off gas for a year," according to Bloomberg, citing London-based capital economics, Europe's largest consulting firm.

“According to Capital Economics, Russia may stop all gas exports to the EU “for a little more than one year without adverse consequences for the economy,” Bloomberg points out.

It is noted that as long as oil prices and export volumes remain at current high levels, Russia's current account surplus will be enough to support it even if the main gas market is turned off.

"Rising gas prices in Europe mean that Russia could earn up to $20 billion per quarter from gas exports, despite volume cuts," the statement said.

On February 24, Russian President Vladimir Putin announced a special military operation in Ukraine in response to the request of the leaders of the Donbass republics for help. He stressed that Moscow's plans do not include the occupation of Ukrainian territories. After that, the US, EU, UK, as well as a number of other states imposed sanctions against Russian individuals and legal entities. The EU has already agreed on seven packages of restrictive measures against Russia. In addition, the West has increased the supply of arms to Kyiv by amounts estimated at this stage in the billions of dollars.

“Russia can afford to shut Europe off gas for a year” — Capital Economics