According to the publication, large-scale sanctions against Russia could cause the collapse of the ruble, the collapse of the stock market and other forms of financial panic in the country, which will “hurt” almost all Russians – from billionaires and officials to ordinary middle-class families.
If the Biden administration follows through on its promise to impose sanctions on major Russian banks, the Russian economy will be reverberated.
According to the NYT, Washington hopes to “strike with a sledgehammer” on the Russian financial system.
The new sanctions being prepared by US officials will stop foreign lending, bond sales, technology for critical industries and the assets of officials close to Putin.
However, it is noted that the real blow to the Russian economy worth 1.5 trillion dollars will be inflicted on the largest state-owned banks.
For a middle-class Russian, the harshest US sanctions could mean higher prices for food and clothing, or, more dramatically, a depreciation of pensions and savings due to the collapse of the ruble and markets.
Analysts say the sanctions, which limit Russia’s ability to export oil and gas, will be a powerful weapon against the Russian economy and perhaps the most effective economic deterrent against an invasion of Ukraine.
However, they will also strike at Europe and the United States.
It is indicated that in response to tough sanctions, Putin can stop the supply of natural gas to Europe or carry out cyber attacks on American and European infrastructure.
In the meantime, the United States is trying to form a set of measures that will inflict the most severe blow on Russia, and at the same time contain economic shock waves around the world, including in the United States.
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