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Capital flight in Russia reached record $150 bn in 2014, expert

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Capital flight in Russia reached record $150 bn in 2014, expert

Post by Admin on Mon Aug 31, 2015 10:07 am

The economic sanctions against Russia are very effective: trade with EU dropped by a third, and capital flight reached $150 bn, National Institute for Strategic Studies and presidential adviser Volodymyr Horbulin writes in an article for DT.UA Aug. 31.

“No matter how Kremlin wants to persuade the Russians in the opposite, the sanctions are biting. There is no access to cheap western credits, the ruble has plummeted and the economic situation remains bad. This is the price Putin has to pay for invading Ukraine and flouting international laws,” the expert says.

The situation in Russia will aggravate further as the country’s economy continues to depend on the falling oil prices.

Putin’s attempts to return Russian tycoons money to the country have failed, with the capital outflow standing at a record $150 bn in 2014.

Given the situation, Putin will bend backwards to lift the sanctions,” V. Horbulin writes.

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