Civil servant salaries, support for the ruble, pensions… Vladimir Putin presents his counterattack in the face of sanctions

“There are hostile geopolitical goals behind the hypocritical rhetoric and actions taken today by the so-called collective West. They just don’t want a strong and sovereign Russia.” Vladimir Putin scored on Wednesday. While talks are underway between Russia and Ukraine on the country’s neutrality status – a condition for a ceasefire after the invasion of the country – the head of the Kremlin has made several statements to calm the economic situation in Ukraine. the country. The tone of his speech, broadcast on Russian television, was also in the form of a 21-day “military operation”: everything “goes according to plan” said Vladimir Putin.

As Russia faces an armada of economic sanctions after invading Ukraine, the man who has ruled Russia since 1999, with today’s GDP equivalent to that of Spain (11th in the world), remains confident.

According to him, even the hostile actions of the West against Russia will only strengthen it. “ The West does not even try to hide that its goal is to harm the entire Russian economy, every Russian “, – confirmed the Russian president in this speech to his ministers.

“Yes, it’s not easy for us now,” but “it’s impossible to organize an economic blitzkrieg against Russia,” he assured.

$300 billion frozen

Specifically, for twenty days the Russian economy has been under intense pressure in every aspect of its economy. To begin with, many Western retail chains, including French luxury groups, have drawn the curtain on Russian cities, laying off thousands of Russian employees. First of all, the Russian central bank froze its foreign assets.

Which could not but react to Vladimir Putin. “Financial reserves can simply be stolen.”he began, “Westerners have frozen about $300 billion belonging to Russia, raising fears of a default.

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Also, seven Russian banks were disconnected from the Swift messaging system, which led to an embargo on the import and export of goods to Russia. Mechanically, some products may run out, driving up consumer prices. Then Russia finds itself in isolation with the termination of air traffic by a large number of Western companies. Finally, the assets of oligarchs close to Vladimir Putin in Europe have been arrested or frozen.

As a result, since the beginning of the military intervention, the ruble has lost 40% of its value. The Kremlin is doing everything to support its national currency (refunds in rubles, purchases of gold, ruble debts…). The Russian president promised to “minimize” these consequences and inflation, which is already on the rise.

Reducing poverty in the midst of conflict

Since then, during this government meeting, which was televised, he promised to increase “living wage, salaries of civil servants“, pensions and remove administrative barriers for business.

In addition, the Russian president promised financial assistance to individuals and businesses to cope with the avalanche of sanctions, ensuring that the Western economic “blitzkrieg” against Russia is overcome.

“Our economy, the state budget, private companies have all the necessary resources to solve long-term problems,” he said, believing that “even in the current situation, we must achieve a reduction in poverty and inequality.”

Free Russian market

At the same time, he assured that private companies – in an economy still dominated by the state – will have to deal with “a key role in overcoming current challenges“For this he promised.”maximum freedom of enterprise“by asking your government”remove administrative barriers“.

“We understand the scale of transformation our economy must go through in order to become even stronger. The main principle of the economic response will remain the maximum freedom of economic activity within the country, with a minimum of regulation and control, and, of course, the support of the labor market.

He also assured that regions and businesses will receive additional credit lines, and government orders will be increased.

In this sense, he also promised assistance to the country’s fundamental agricultural sector. Earlier Wednesday, a 26 billion ruble (€218 million at current exchange rate) aid to the sector was announced.

Fighting western world domination

For the head of the Kremlin, the West will fail in what he called an attempt at world domination and the dismemberment of Russia.

He called the current situation “test“who should”mobilize“Russians, and who, he assures us, will be defeated.”With dignity, diligence, joint efforts and support, we will overcome all difficulties.“, he said.

“The Russian economy will definitely adapt to new realities”Vladimir Putin concluded.

In any case, with its hydrocarbon reserves, Russia has a permanent resource. It is also benefiting from soaring gas and oil prices, which it sells in Europe as well as other continents such as India.

At the same time, economic ties with China are intensifying, such as the Russian MIR bank cards in partnership with the Chinese payment solution Union Pay. By moving closer to the Chinese yuan, Moscow is teaming up with Beijing against the dominance of the dollar in the global economy.

(with agencies)

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