According to an internal document of the Ministry of Finance, Russiaʼs financial sector has suffered direct losses of hundreds of billions of dollars due to Western sanctions.
Bloomberg writes about this with reference to a document of the Russian Ministry of Finance, which is at the disposal of the media.
According to this document, the direct losses of the financial sector of Russia are as follows:
- fall of stock market capitalization by 40%;
- $300 billion of central bank reserves are frozen;
- Eurobonds worth 4.6 trillion rubles were frozen;
- a 10% drop in the capital of the banking system;
- frozen retail assets worth 563 billion rubles, as well as depository assets.
The document also describes the damage from the sanctions of 80% of the assets of the banking sector, the disconnection of Russia from the SWIFT system and the loss of access to key hardware and software. It says that the instruments — derivatives, hedges, Eurobonds and initial public offerings — "virtually disappeared."
Bloomberg emphasizes that this report focuses on the financial system and does not consider the impact on the Russian economy as a whole.
- Earlier, Bloomberg wrote that in August 2022, that Russiaʼs energy revenues fell to the lowest level in 14 months. And in the internal report of the Russian government, with which the publication got acquainted, a deep recession is predicted due to Western sanctions. There, the government fears a serious decline in some sectors of the economy and a massive "brain drain" from the country.