How Ukrainian Armed Forces’ long-range attacks caused panic in Russia – WP
Ukraine’s long-range strikes on targets deep within Russia have had serious economic and energy-related consequences for the aggressor state.
This is reported by The Washington Post, which quotes Censor.NET.
The impact on the fuel sector and industry
Ukraine has significantly stepped up its attacks on strategic targets within Russia. In the space of a single week, drones struck oil refineries, a microelectronics plant in Voronezh that manufactures components for ballistic missiles, and a chemical plant in Tula, which is vital for the production of ammunition.
In Crimea, following the attacks, the electricity supply was completely cut off, the sale of fuel was halted and a state of emergency was declared.
According to the publication, petrol production in Russia fell by 25% between 15 and 21 June. Fuel rationing has been introduced in dozens of regions. Following the strike on the main oil refinery in Moscow, the facility may remain out of operation until next year.
Financial pressure and the authorities’ response
Tensions are mounting amongst the Russian elite against the backdrop of recent events. The stock market has fallen by more than 13% since the start of June, marking its sharpest decline since September 2022.
The price of Russian oil has fallen to around 50 dollars a barrel. The federal budget deficit at the end of May reached six trillion roubles, which is twice as much as last year and already exceeds the target for the whole year.
"A state of complete uncertainty. The feeling that there is no way out," said a former Russian finance official.
Against this backdrop, proposals are emerging to mobilise funds from the public. In particular, the leader of the Communist Party has called for substantial sums to be drawn from the bank accounts of citizens and businesses. The possibility of accessing pension savings held in private funds is also being considered.
According to sources, concern is growing within the business community, and people are looking for ways to move their funds abroad.
Analysts believe that, despite the economic pressure, the Russian leadership is unlikely to make concessions. It is more likely that the situation will lead to a new round of escalation.
