Economic impact of the Russian invasion of Ukraine
[54][55] Russia is reportedly experiencing brain drain due to mass emigration of more than 300,000 mainly younger Russians,[56] many of whom are tech industry professionals, to countries like Armenia, Georgia, and Turkey.[63] In late July 2022, the IMF upgraded Russia's GDP estimate by 2.5%, but some economists see a long-term problem for the Russian economy, and explain its resilience only by a short-term increase of energy prices.This has been clarified by Forbes economists who explained that over 1000 companies withdrawn from Russia and while they were forced to sell their assets at 50% discount, these losses make 1-2% of their global revenues.High growth in the military economy results in the macroeconomic indicators biased towards the defense orders, so the collapse of civilian production by 10% was not reflected in the GDP.[80] On 10 April 2022, Bloomberg News service reported that the Ukrainian economic growth for 2022 is likely to suffer a sharp decline estimated at a 45% decrease in annual performance as a result of the Russian invasion.One of the negative impacts of the war was that due to the influx of Russian migrants, the prices of the apartments in the center of Yerevan increased sharply on average 109,000 AMD per square.The National Statistical Committee (NSC) issued official data that showed Armenia's GDP increased by 14.8% over the previous year during the third quarter.Wholesale and retail trade, auto and motorcycle repair (20%), building (19.9%), manufacturing (18%), administration and related sectors (16.2%), and lodging and catering (12.8%) also recorded high growth rates.Remittances, trade, and investment are projected to suffer significantly in Armenia as a result of the Russian financial crisis and the ensuing collapse of the ruble.[106] On 31 March, in apparent retaliation against Western economic sanctions, Putin announced that Russia would stop supplying gas to Europe that was not paid for in rubles.[112][113] In May 2022, the European Commission proposed and approved a partial ban on oil imports from Russia,[115][116] part of the economic response to the Russian invasion of Ukraine.However, the deal faced a few roadblocks like Green's Mounir Satouri, the European parliament's lead MEP on Egypt threw light on EU's relations with the latter in a letter written to von der Leyen, highlighting its dismal human rights record.[152] Possible major policy-based actions that could mitigate the energy and resource crises caused or exacerbated by the war could include demand-side focused measures, worded briefly as (facilitating people to) "grow more food and less fodder, drive and fly less, turn down the thermostat".This led to major shipping companies requiring war insurance for tankers picking up from Novorossiysk, Russia's primary oil export terminal.[169] Russia has also historically been a significant exporter of crude to former Soviet and Eastern bloc countries, including Ukraine, Belarus, Romania and Bulgaria.[175][176] Oil and gas giants, including Exxon Mobil and Chevron (the two largest U.S. fossil-fuel companies), gained record profits as the prices for fossil fuel surged in 2022 following the Russian invasion of Ukraine.[180] In September 2022, German Economy Minister Robert Habeck accused the United States and other "friendly" gas supplier nations that they were profiting from the Ukraine war with "astronomical prices".[250] The Russian invasion of Ukraine continually exacerbated the consumerism market within the country, in which several foreign companies began to suspend their function in Russia.According to one study from Yale University, merely 350 foreign investment companies have successfully fled the region, including luxury and retail sectors such as Chanel and Zara.McDonalds is one of the significant companies that ceased their 850 locations and united with Starbucks, Ikea and Heineken to thwart their operation during the midst of international sanctions.[251] One interviewee expressed her concern regarding the closure of diverse sectors: "When we stood in line all those years ago, we understood the country had a real future.[257] These restrictions are designed to weaken Russian and Belarusian defense, aviation, naval, and other strategic sectors in response to Russia's invasion of Ukraine.[260][261] Sanctions imposed by the U.S., Europe, and other countries adversely affected the Russian economy,[260][261] and Russia's manufacturing, wholesale, and retail trade sectors all declined in 2022.[263][264] The major weapon manufacturers, such as Raytheon, Lockheed Martin and BAE Systems,[265][266] reported sharp rises in interim revenues and profits.[267][268][269] The term "ABCD" refers to the four companies – ADM, Bunge, Cargill and Louis Dreyfus – that dominate world agricultural commodity trading."[273] With large sections of airspace closed to Russian aircraft, flights from Russia to Tel Aviv, Israel; Istanbul, Turkey; Yerevan, Armenia; Baku, Azerbaijan; and Tbilisi, Georgia were sold out for many days, as well as buses into Baltic states.One Latvia-based Russian tech worker, seeing high demand to leave the country, chartered a flight and filled the approximately 160 seats within 24 hours.[274] Those staying in Russia face surging inflation and unemployment, expensive credit, capital controls, restricted travel, and shortages of goods.[281] Starting in September 2022, Russia focused on Ukraine's energy grid, launching a series of attacks on power stations and the electricity distribution system.[291] In early March 2022, former Russian president Dmitry Medvedev announced a new law which would allow Russia to nationalize assets of Western companies pulling out of the country.
Countries that have banned
Russian aircraft
from their airspace. Flight bans placed on Russian aircraft and Russia's retaliatory measures have changed global airline routes.
National Balancing Point
NBP (UK) natural gas prices
Europe
TTF
natural gas prices
United States
Henry Hub
natural gas prices
Countries on Russia's " unfriendly countries list ". Countries and territories on the list have imposed or joined sanctions against Russia. [ 284 ]
Russian invasion of UkraineTimelineFebruary – April 2022April – August 2022August – November 2022November 2022 – June 2023June – August 2023September – November 2023December 2023 – March 2024April – July 2024August – December 2024January 2025 – presentPreludeCasualtiesTerritorial controlList of engagementsWar crimesAttacks on civiliansPeace negotiationsCollaboration with RussiaRussian emigrationNuclear riskHumanitarian impactsRussian annexationTreatment of prisoners of warRussian invasion of Ukraine (2022)Northern frontAntonov AirportChernobylHostomelKyiv strikesshopping centre bombingRussian Kyiv convoymassacrerefugee column shellingMakarivMoshchunKozarovytska DamBrovarySlavutychBorodiankaammonia leakChernihivChernihiv strikes3 March 2022 bombing16 March 2022 breadline attackLebedynNorthern Ukraine skirmishesEastern frontMariupolhospital airstriketheatre airstrikeart school bombing1st KharkivKharkiv strikesFebruary cluster bombinggovernment building airstrikeMarch cluster bombingApril cluster bombingdormitories missile strikeChuhuiv Air BaseVolnovakhaStara KrasniankaMarch 2022 attackJune 2022 attackSeptember 2022 attackRubizhnePopasnaMarinkarailway station attackBattle of DonbasSiverskyi Donetsschool bombingSievierodonetskLysychanskChasiv Yar strikeOlenivka massacreBakhmutSoledarVuhledarMakiivka2nd KharkivKupianskcivilian convoy shelling2nd LymanLuhansk Oblast campaignVelyka NovosilkaRussian Winter OffensiveSouthern frontKhersonKherson strikesMelitopolMykolaivbombing7 March 2022 military quarters attackcluster bombing18 March 2022 military quarters attackChornobaivkaEnerhodarZaporizhzhia NPPVoznesenskBerdianskHuliaipoleDavydiv BridCrimeaNovofedorivka1st Crimean Bridge1st Sevastopol Naval BaseKherson counteroffensiveNova KakhovkaLiberation of KhersonDnieperZaporizhzhiacivilian convoy attackresidential building airstrikeIvano-FrankivskKryvyi RihZhytomyrVinnytsiaDniproYavorivKhmelnytskyiKremenchukSerhiivkaChaplyneStrikes against Ukrainian infrastructure