Assessing the Impact of Western Sanctions on Russia: Economic Consequences

2026-10-12 22:25:19    Karamat Ismayilov

This article analyzes the theoretical foundations and historical experience of economic sanctions, as well as the consequences of the sanctions imposed on Russia between 2022 and 2026. The classical literature (Daoudi & Dajani, Hufbauer et al., Caruso) demonstrates that sanctions have a negative impact on trade and economic activity, while their effectiveness in changing political behavior remains limited. Historical examples confirm the development of adaptation mechanisms.

The sanctions imposed on Russia have resulted in declining energy revenues, increasingly stringent technological restrictions, and greater reliance of the budget on domestic taxation. However, they have not led to the paralysis of the economy. The prioritization of defense spending, parallel imports, and relationships with alternative markets have enabled economic adaptation.

In conclusion, although sanctions have systematically weakened the Russian economy and reduced its long-term growth potential and fiscal flexibility, they have not caused a “rapid collapse.” Their primary impact has been structural.


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