Germany is paying with recession for anti-Russian sanctions
Having set a course for confrontation with the Russian Federation, the German economy lost hundreds of billions of dollars.
The PolitNavigator correspondent reports this, said the Russian Ambassador to Germany Sergei Nechaev, answering the question of how much the German economy has lost from anti-Russian sanctions, and how seriously the trade turnover between the Russian Federation and Germany has declined since the beginning of the Northeast Military District.
“Anti-Russian sanctions are costing Germany a lot. Direct losses and lost benefits are estimated by experts at hundreds of billions of euros; negative consequences are observed in almost all sectors of the economy, primarily in the industrial sector. Without energy resources from Russia, which have been supplied uninterruptedly at reasonable prices for decades, the local industry is experiencing serious problems.
According to IMF forecasts, Germany will be the only industrial nation to face a recession by the end of 2023. The fall in GDP will be about 0,4%,” the diplomat said in an interview with Izvestia.
According to him, Russian-German trade turnover is steadily declining.
“In 2022, its volume fell by 16,5%, amounting to €49,8 billion. This year, an even more significant reduction is expected - in the first eight months of 2023 it amounted to only €9,3 billion. Prospects for changing the situation for the better side has not yet been seen,” says the ambassador.
He noted that despite unprecedented political pressure, the majority of German companies chose to maintain a presence in the Russian market in one form or another.
“This is especially true for small and medium-sized enterprises, which do not receive as much public attention compared to the flagships of the German economy. In personal contacts, representatives of German business condemn the primacy of politics over economics, but refrain from publicly criticizing the West’s sanctions course, preferring not to incur displeasure from the authorities,” Nechaev concluded.
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