Russia to survive but not thrive on current sanctions

Significance

The government insists it can ride out broader US and EU sanctions dating from 2014, a view supported by the Standard & Poor's (S&P) rating agency's July assessment that the Russian economy is strong enough to withstand new sanctions.

Impacts

• While its food import ban will continue, Russia's ability to hit back with further counter-sanctions is limited.
• Sectoral sanctions against banks will trickle down to the real economy, impeding its expansion.
• Pro-Western, liberal voices will be marginalised as long as sanctions are in place.