December 03, 2023

Occupation Is Expensive


Occupation Is Expensive
Rubles. The Russian Life files

The Bell, an independent Russian news outlet that focuses on economics, has released a study reporting that Russia's actions in Ukraine since the Maidan protests have created an economic "lost decade."

According to the report, since anti-Russian protests erupted in Kyiv in November 2013 (which would lead to Russia's annexation of Crimea, support for separatists, and eventual invasion), Russia has made policy decisions that have led to stunted economic growth.

These include a loan of R15 billion ($166 million) to the now-ousted Russia-friendly Ukrainian president, that is unlikely to be paid back; another $3 billion loan in Eurobond loans; and as much as R200 billion ($2.2 billion) in annual subsidies for occupied territories like Crimea. And this doesn't include an estimated R483 billion ($5.3 billion) annually for territories occupied since the most recent invasion began in February 2022.

And there is no indication these subsidies will end anytime soon.

Then there are the Western sanctions imposed in the wake of Russia's 2014 annexation of Crimea, followed by Russia's "counter-sanctions" – leading to a ban on Western food imports that nearly doubled food prices between 2014 and 2016, even as domestic production rose. Large Russian companies suffered as well, as they were unable to attract foreign investment, which slowed growth throughout the economy.

The combined economic effects of all of this are widespread. For instance, while other countries in Eurasia saw strong GDP growth over the period, ten years of slow growth in Russia has created a gap between Russia and the West five times larger than it was ten years ago, on top of higher prices for consumers.

The end result? Sluggish isolation for Russia.

You Might Also Like

We'll Swim After Victory
  • October 15, 2022

We'll Swim After Victory

Our correspondent was offered a business trip to Odesa, Ukraine. He took it and brought this back.
Trekking In Partisan Footsteps
  • May 01, 2011

Trekking In Partisan Footsteps

Eastern Crimea was a center for partisan activity during the Great Patriotic War. In honor of the May Day holiday, we trek through this wild realm along the Black Sea.
600 Days of War
  • October 16, 2023

600 Days of War

Russia's War on Ukraine has been going on for 600 days. Some Facts & Figures.
A Wall of Resistance
  • February 27, 2023

A Wall of Resistance

A Russian shopkeeper's picture went viral after using the walls of his shop to express opposition to the invasion of Ukraine.
Like this post? Get a weekly email digest + member-only deals

Some of Our Books

The Little Humpbacked Horse (bilingual)

The Little Humpbacked Horse (bilingual)

A beloved Russian classic about a resourceful Russian peasant, Vanya, and his miracle-working horse, who together undergo various trials, exploits and adventures at the whim of a laughable tsar, told in rich, narrative poetry.
The Samovar Murders

The Samovar Murders

The murder of a poet is always more than a murder. When a famous writer is brutally stabbed on the campus of Moscow’s Lumumba University, the son of a recently deposed African president confesses, and the case assumes political implications that no one wants any part of.
At the Circus (bilingual)

At the Circus (bilingual)

This wonderful novella by Alexander Kuprin tells the story of the wrestler Arbuzov and his battle against a renowned American wrestler. Rich in detail and characterization, At the Circus brims with excitement and life. You can smell the sawdust in the big top, see the vivid and colorful characters, sense the tension build as Arbuzov readies to face off against the American.
Maria's War: A Soldier's Autobiography

Maria's War: A Soldier's Autobiography

This astonishingly gripping autobiography by the founder of the Russian Women’s Death Battallion in World War I is an eye-opening documentary of life before, during and after the Bolshevik Revolution.
Dostoyevsky Bilingual

Dostoyevsky Bilingual

Bilingual series of short, lesser known, but highly significant works that show the traditional view of Dostoyevsky as a dour, intense, philosophical writer to be unnecessarily one-sided. 
The Latchkey Murders

The Latchkey Murders

Senior Lieutenant Pavel Matyushkin is back on the case in this prequel to the popular mystery Murder at the Dacha, in which a serial killer is on the loose in Khrushchev’s Moscow...
A Taste of Chekhov

A Taste of Chekhov

This compact volume is an introduction to the works of Chekhov the master storyteller, via nine stories spanning the last twenty years of his life.
Survival Russian

Survival Russian

Survival Russian is an intensely practical guide to conversational, colloquial and culture-rich Russian. It uses humor, current events and thematically-driven essays to deepen readers’ understanding of Russian language and culture. This enlarged Second Edition of Survival Russian includes over 90 essays and illuminates over 2000 invaluable Russian phrases and words.
Faith & Humor: Notes from Muscovy

Faith & Humor: Notes from Muscovy

A book that dares to explore the humanity of priests and pilgrims, saints and sinners, Faith & Humor has been both a runaway bestseller in Russia and the focus of heated controversy – as often happens when a thoughtful writer takes on sacred cows. The stories, aphorisms, anecdotes, dialogues and adventures in this volume comprise an encyclopedia of modern Russian Orthodoxy, and thereby of Russian life.

About Us

Russian Life is a publication of a 30-year-young, award-winning publishing house that creates a bimonthly magazine, books, maps, and other products for Russophiles the world over.

Latest Posts

Our Contacts

Russian Life
73 Main Street, Suite 402
Montpelier VT 05602

802-223-4955