According to the Minister of Transport, the Russian authorities have had to look for new alternative trade routes for the transport of goods.
Russian Minister of Transport Vitali Saveljev says sanctions imposed by the West have caused serious logistical problems for the country. The Minister’s acknowledgment of the damage caused to Russia by the sanctions can be considered exceptional. The news of the Russian state news agency Tassin is reported, among other things CNN (switch to another service) and The New York Times (switch to another service).
– The sanctions currently being imposed on the Russian Federation have violated virtually all logistics in our country, said Savelev, who visited the city of Astrakhan in southern Russia on Saturday.
The sanctions imposed by the European Union on Russia have targeted, for example, Russian land, sea and air transport in Europe.
According to Saveljev, the Russian authorities have had to look for new alternative trade routes for the transport of goods. This would be matched by the International North-South Transport Corridor (INSTC), which connects India to Central Asian countries and Europe via Iran.
Among other things, the United States and the EU have shut down Russian banks in Western markets as a result of the country’s invasion of Ukraine. In addition, hundreds of international companies have either suspended operations in Russia or left the country altogether.
Russia’s central bank has also said in the past that “Russian companies are experiencing significant difficulties in terms of production and logistics.” Governor of the Central Bank of Russia Elvira Nabiullina in April, he gave a speech to the lower house of the Russian parliament, the Duma, in which he painted a rather negative picture of the future of the country’s economy under sanctions.
Nabiullina recalled that virtually all products made in Russia are dependent on foreign import components.
According to various media reports, Nabiullina would have asked the president From Vladimir Putin resigned from the central bank after Russia launched an invasion of Ukraine. Putin is said to have refused to accept his resignation.