Moscow has been discreetly funding heavy war costs with risky, off-budget debt. But the scheme has caused major problems—with more likely to follow—offering useful leverage to Ukraine and its allies.
As someone living in Moldova, I'd LOVE to believe Russia is approaching economic collapse.
What happens next?
I've been reading reports that the war was economically unsustainable since just after it started, but still it continues. So what are the signs that the breaking point has been reached, what should we look for to see that the final stage has been reached? And what would that collapse look like?
Loved the in depth analysis, but I'd love to see "what happens next" even more.
…soviet union fell not because of the pressure of the west, it was simple and straight forward BANKRUPTCY, financial, social economic and all together system was a total sham and failure, then 90s struck, all colder cows of soviet era were gone like ukraine and rest of the 14 “republics” that were suffering oppression and exploitation by kremlin and rusha found itself in complete disarray and shambles, no rules or law, anyone who could make money by doing whatever it takes in a lawless society took on that task with tenacity of raw capitalism and all the way to anarchy, everyone was stalling EVERYTHING military officers selling from guns and amos, to Mig jets, literally on FUCKING EBAY, gangs begin to emerge and moscow’s streets start to be deadly, cars of gangsters hitting each other were blowing up while driving, then putin came to power and as an expert on criminality, that was his area of expertise while in KGB, he brought all that to order
…”пахан на зоне” (main gangster in a whole prison) took control and made all oligarchs his subjects, whoever didn’t come along, fell of a window or ate something that wasn’t good for their health…
…i went down a line of history for a reason, my point is: gangsters never produced anything, just as any regime is systemic lawlessness and corruption, do what do you think conditions of putin’s country is after all his mafia state economy ?
…while idiots around the world were looking up the sky waiting for putin’s nukes he doesn’t have, he highjacked the world with a fucking screwdriver, his weapons are: PROPAGANDA, CORRUPTION and TERRORISM
in Chapter 2 it says - "But for these borrowers, support is often taking the form of interest rate subsidies, where the borrower pays a fixed rate well below the normal market rate and the state pays the lending bank the difference between the market rate and the “preferential” rate "
so the interest rate spread covered by the state should be showing up in the government budget ? Alternatively the banks providing these subsidized loans should have lower savings/deposit rates for their depositors and/or lower profitability vs banks not involved in subsidized loans ?
As someone living in Moldova, I'd LOVE to believe Russia is approaching economic collapse.
What happens next?
I've been reading reports that the war was economically unsustainable since just after it started, but still it continues. So what are the signs that the breaking point has been reached, what should we look for to see that the final stage has been reached? And what would that collapse look like?
Loved the in depth analysis, but I'd love to see "what happens next" even more.
…soviet union fell not because of the pressure of the west, it was simple and straight forward BANKRUPTCY, financial, social economic and all together system was a total sham and failure, then 90s struck, all colder cows of soviet era were gone like ukraine and rest of the 14 “republics” that were suffering oppression and exploitation by kremlin and rusha found itself in complete disarray and shambles, no rules or law, anyone who could make money by doing whatever it takes in a lawless society took on that task with tenacity of raw capitalism and all the way to anarchy, everyone was stalling EVERYTHING military officers selling from guns and amos, to Mig jets, literally on FUCKING EBAY, gangs begin to emerge and moscow’s streets start to be deadly, cars of gangsters hitting each other were blowing up while driving, then putin came to power and as an expert on criminality, that was his area of expertise while in KGB, he brought all that to order
…”пахан на зоне” (main gangster in a whole prison) took control and made all oligarchs his subjects, whoever didn’t come along, fell of a window or ate something that wasn’t good for their health…
…i went down a line of history for a reason, my point is: gangsters never produced anything, just as any regime is systemic lawlessness and corruption, do what do you think conditions of putin’s country is after all his mafia state economy ?
…while idiots around the world were looking up the sky waiting for putin’s nukes he doesn’t have, he highjacked the world with a fucking screwdriver, his weapons are: PROPAGANDA, CORRUPTION and TERRORISM
in Chapter 2 it says - "But for these borrowers, support is often taking the form of interest rate subsidies, where the borrower pays a fixed rate well below the normal market rate and the state pays the lending bank the difference between the market rate and the “preferential” rate "
so the interest rate spread covered by the state should be showing up in the government budget ? Alternatively the banks providing these subsidized loans should have lower savings/deposit rates for their depositors and/or lower profitability vs banks not involved in subsidized loans ?