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Russia can repay the damage it has already caused to Ukraine’s economy since 2014 and will cause in the post-war years in ‘just’ 15 years — research

Russia can repay the damage it has already caused to Ukraine’s economy since 2014 and will cause in the post-war years in ‘just’ 15 years — research

Russia is expected to cause damage of $1.36 trillion to Ukraine’s economy, as estimated by Viktor Tsyrennikov, a Director for Quantitative Services and Analytics at Promontory Financial Group. Of this number, $680 billion are losses incurred between 2014 and 2021, $155 billion of losses are expected in 2022, and the remaining $525 billion during 2023-2026.

“Unfortunately, we think that this number is just a lower bound, and the loss is growing every day. And unless there is an unusual spur in Ukraine’s growth relative to the pre-war potential, the loss will continue to grow after the five years,” the economist wrote in his research.

According to Tsyrennikov’s estimates, with oil prices at $100, Russia can repay this amount using 25% of its oil revenues in ‘just’ 15 years. It would take only 11 years if $300 billion of the Central Bank of Russia’s reserves frozen abroad were netted out.

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