Economist Belyaev spoke about the dangers of anti-Russian sanctions for Europe
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First of all, possible sanctions against Russia will hit Western Europe, and Germany will become the main victim, says Mikhail Belyaev, Ph.D. in economics, financial analyst. He shared his opinion with Lenta.ru.
“Germany has practically no own production of energy resources. Coal production was curtailed, it contradicts green installations, and it was not without reason that Nord Stream 2 was built there, which is now completely filled with gas and is ready for operation. One has only to give a license, and 55 billion cubic meters of gas will be supplied to Europe annually, solving all problems, including price ones,” the economist noted.
According to him, the whole of Western Europe will also suffer, since it is actually deprived of its own energy sources. What it extracts is not enough for domestic consumption: the household and, above all, the industrial sector.
“Europe still does not have the same financial resources as, say, the United States. She has more limited ones, she has less significant political connections, and it is technically quite difficult to transfer energy to her. This is consumption from various sources, they planned to deliver it to themselves from the farthest corners of the planet, where at least something is mined. We understand that logistics is lengthening, and transportation costs are becoming more expensive, and so on. In Europe, energy prices will immediately rise. And prices are inflation, difficulties in the operation of the economic mechanism with all the consequences,” Belyaev explained.
Energy problems will lead to production bottlenecks that will affect Europe's partners, such as Asia and Africa. The United States, which initiates the imposition of sanctions in the event of a hypothetical Russian invasion of Ukraine, will be less affected, the economist believes. “The US is in a better position to a certain extent, the US has its own sources of energy and capabilities: financial and political resources, ties with Saudi Arabia and other energy suppliers,” he said.
Earlier, US Treasury Secretary Janet Yellen acknowledged that possible sanctions against Russia would have “global consequences” as they could affect energy markets.
