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Due to sanctions, Russia struggles to receive billions of dollars in export revenue.

The Russian economy cannot win or lose the war.

Russia will seize Western assets in retaliation, and the aggressor has other options for its revenge.

The strengthening of American sanctions and the refusal by foreign banks to pay Russian companies have deprived Moscow of billions of dollars in foreign exchange. In March, the Russian Federation earned $39.6B from exports, 30% more than in February and almost 40% more than in January.

However, Russian companies’ “foreign assets” increased by $15.5B – an indicator that includes funds in foreign accounts. In March, the growth rate in foreign assets accelerated by 400%. “The goods are being exported, but the money is not arriving,” says CenterCredit Bank.

So, despite the reports from the Russian Central Bank about a record trade surplus for more than a year ($16.7B in March), almost every fourth dollar received for exported goods was suspended in foreign accounts. This may be one of the reasons for the weakness of the ruble at the end of the first quarter.

 

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