If you really want to hurt Russian President Vladimir Putin, you should stop importing oil, natural gas, grains and other necessities from Russia. Such drastic economic sanctions can give Russia both financially and financially, but it is also very dangerous.
Russia is not a geopolitical bizarre thing that can be economically strangled with impunity. Also, if we stop importing certain energy and food altogether, we will be suffocated economically. Anyone who wants to attack Russia must first set foot … Moreover, such a full-scale economic war is almost an act of war. Be a little careful, take a step back and diplomatic speeches are harmless in these situations.
Russia is not a geopolitical bizarre thing that can be economically strangled with impunity. Also, if we stop importing certain energy and food altogether, we will be suffocated economically. Anyone who wants to attack Russia must first set foot … Moreover, such a full-scale economic war is almost an act of war. Be a little careful, take a step back and diplomatic speeches are harmless in these situations. Because the West is at risk of paying high due to its impulsivity: a high bill in the form of recession and inflation. High for a long time. With oil over $ 125 a barrel and natural gas over € 300 per Mwh, this is a serious energy shock, approaching the first oil shock of 1973. .. For example, 78% of Belgium’s energy supply still depends on imported fossil fuels. At such a price, this represents a huge financial pitfall that can completely stop our country’s economic recovery. Are you ready to accept stagflation as a necessary sacrifice in this war with Russia? And is this just when our economy is still recovering from the pandemic? Europe Relying on Russia’s Natural Gas The debate is even more intense when it comes to Europe’s supply of Russia’s natural gas. The harsh reality is that Russia needs Russian gas more than it needs the euro. Boycotts will obviously hurt Russia, but it can sell up to five times more oil than it sells natural gas. Before Ukraine was invaded, Russia had a trade surplus without considering natural gas revenues. Therefore, the Russian economy and foreign exchange reserves are much more based on oil than gas. Therefore, oil boycotts will hurt Putin more than gas boycotts, and Europe, which relies heavily on Russia’s natural gas, will be a big loser in the event of a gas boycott from Russia. In the short term, it is certainly impossible to replace this gas. The boycott of Russian gas means short-term reductions in consumption and very high prices, including Belgium. We have not yet fully evaluated the devastating impact this would represent for our energy economy. Have you ever increased your natural gas bill by 20 times? Hopefully, natural gas prices will not stay at current levels for long. If this is the case, gas, or home heating, will be virtually affordable for so many families, of course, unless the government takes up a larger part of the bill. In that case, a simple VAT reduction is not enough. In short, refusing to supply natural gas from Russia can have serious economic and political consequences and makes Putin laugh. It’s no wonder Germany opposes this boycott. Yes, Europe has become naive in recent years on Russia’s natural gas, which is rewarding today. Oil tap? If you don’t turn off the gas taps and hurt Russia enough, the oil situation will be different. In that case, the oil boycott will probably hurt Russia more than the West. For oil, after all, if the OPEC cartel is willing to pump more oil, if a nuclear deal with Iran is possible (and then suspending oil sanctions on that country). And Americans are stepping up shale oil production … nevertheless, it’s not easy without Russian oil in the already tight oil market. Also, if Putin stops buying oil, Putin is likely to react by cutting the gas plug, which means that the economic war with Russia will also cost a lot of money. If you want this card to play Putin perfectly, you’ll be expected to understand that Europe is waiting for it.