Russian President Vladimir Putin acknowledged the obvious on Wednesday, saying in televised remarks that Russia’s economy has been battered by Western sanctions and a flurry of businesses ceasing operations within the country in protest of his invasion of Ukraine.
“Our economy will need deep structural changes in these new realities, and I won’t hide this—they won’t be easy; they will lead to a temporary rise in inflation and unemployment,” Putin said.
The Wall Street Journal provides key context:
The impact of sanctions has reverberated across Russia, leading to factory closures, job losses, a doubling of interest rates and a decline of the ruble. Inflation has galloped ahead of the central bank’s target. Russia is at risk of defaulting on its debt.
Mr. Putin said the West’s effort to organize an “economic blitzkrieg” against Russia had failed, but warned there would likely be further attempts to step up pressure on Russia.
In his remarks, Putin said he’d reward companies that have decided to remain in Russia with new development opportunities. He also lashed out at dissidents he accused of conspiring with Western governments, calling them “scum” and vowing to ostracize them.
“Any people, and particularly the Russian people, will always be able to tell the patriots from the scum and traitors and spit them out like a midge that accidentally flew into their mouths,” Putin said. “I am convinced that this natural and necessary self-cleansing of society will only strengthen our country, our solidarity, cohesion and readiness to meet any challenge.”
Bloomberg reports:
Asked how such a cleansing would operate, Kremlin spokesman Dmitry Peskov said Thursday that people “are disappearing from our lives by themselves,” including by resigning from work positions or leaving Russia. “This is how this purification happens,” he told reporters on a conference call, adding that many people “show themselves to be traitors” at difficult times.
According to OVD-Info, a Russia-based human rights organization, approximately 15,000 people have been detained at anti-war protests in Russia since the invasion of Ukraine began in late February.
Bloomberg adds:
Tens of thousands of Russians have fled abroad to escape the deepening crackdown, seeing little future for themselves as the sanctions cast the country deeper into isolation. Many abandoned homes and careers to seek shelter in countries such as Kyrgyzstan, Georgia, Armenia, Turkey and Israel.
