Thread by @ArturRehi

1/10 Unveiling the Truth: russia's Economic Crisis Beyond the Facade of Cherry-Picked Statistics and Propaganda. A brief analysis by @joni_askola

2/10 Since February 2022, Western governments have imposed sanctions on more than 15,000 russian entities and individuals to reduce russia’s revenues from exports of energy and minerals, impairing its long-term ability to wage war.

3/10 To limit russian profits from oil, the G7 nations restricted the use of Western vessels and insurers for oil priced over $60 a barrel. russia developed a new network of shippers to get around the restrictions, moving 71% of its oil exports through a growing ghost fleet.

4/10 Most russian banks maintain access to SWIFT and have imported over $900 million worth of battlefield and dual-use technology per month in the first half of 2023. These imports have been critical for russia's military industry and have made russia even more dependent on china

5/10 Sanctions will intensify over time, impacting russia's budget, financial markets, foreign investment, and its industrial and technological base. russia is likely to devote around 40% of its budget to the military in 2024, impacting sectors like education and healthcare.

6/10 The IMF has highlighted that russia's hot war with Ukraine is reminiscent of the Soviet Union's détente with the United States, with state military spending crowding out other forms of economic growth.

7/10 The image projected by the russian government of a robust and flourishing economy is akin to a meticulously crafted illusion, concealing the vulnerabilities and deficiencies that plague the nation's economic landscape.

8/10 russia's economy is plagued by chronically low levels of FDI and endemic corruption. The claims of prosperity are further undermined by the fact that russian statistics are cherry-picked lies and distortions, meant to deceive both domestic and international audiences.

9/10 In reality, russia's economy is teetering on the brink of crisis, held together by a fragile web of deception and manipulation. The kremlin's failure to address the underlying structural weaknesses and vulnerabilities only exacerbates the risk of economic collapse.

10/10 Without meaningful reforms and a commitment to transparency, accountability, and the rule of law, russia's illusion of economic prosperity will inevitably crumble, leaving behind a trail of devastation and disillusionment.