There is no doubt Russia’s military is losing the war in Ukraine, as was apparent by Putin’s loss of the big city of Kherson. However, Russia seems determined to press on, now raising more money to keep fighting and putting pressure on Kyiv. What happens next?
Russia has raised more than $13 billion in just one day as the cost of Vladimir Putin’s war with Ukraine keeps mounting.
Britain’s Ministry of Defence said on Saturday that the Russian Federation had conducted its largest debt issuance on Wednesday.
Its intelligence report also said that Russia’s declared “national defence” spending in 2023 is estimated to be about 5 trillion rubles ($84 billion), or more than 40% higher than forecast.
The MoD report also indicated that Russia’s finance ministry “perceives current conditions as relatively favorable but is anticipating an increasingly uncertain fiscal environment over the next year.”
In June the US Treasury blocked American investors from buying both government and corporate Russian debt on secondary as well as primary markets, The Wall Street Journal reported.
The true cost of Russia’s invasion of Ukraine remains unclear. The Organization for Economic Co-operation and Development estimates the conflict will cost the global economy $2.8 trillion in lost output by the end of 2023.
Latest Defence Intelligence update on the situation in Ukraine – 19 November 2022
Find out more about the UK government’s response: https://t.co/QETLoujAbb
?? #StandWithUkraine ?? pic.twitter.com/Q0kqdha4pT
— Ministry of Defence ?? (@DefenceHQ) November 19, 2022
The Kyiv School of Economics estimated in August that the damage to Ukraine’s economy from the destruction of buildings and infrastructure amounted to $113 billion. The government estimated in the summer that it needed $5 billion a month to maintain essential services, and some $750 billion for reconstruction.
The economic sanctions imposed on Russia as a result of the invasion are likely to be felt by Russian citizens for decades to come, CNBC reported in March.
Russian tank firing main gun. Image Credit: Creative Commons.
The Russian Federation didn’t immediately respond to a request for comment by Insider.
