Litwin
Diamond Member
pootler´s Central Bank predicted the impact of sanctions on the economy in a surprisingly frank report back in March. Sanctions were not predicted to really bite until Q4 when reserves of most western imported machine spares, car parts, general tech, agricultural equipment etc were expected to run dry. Even allowing for cannibalisation which will keep some production lines going, the cascade effects on the broader economy will be severe. Whilst cooking the books for internal exchange rates may be useful in the short term to wave at the barbarians , it cannot cover dramatic food price increases (40-60% for some basic items) nor can creative accounting produce parts for Ford cars, John Deere tractors or food processing plants. The onset of the consequences of the sanctions will be later this year, will be sudden and will be severe.