• Tue. Oct 3rd, 2023

Russian Government may Seize Funds of Citizens to Escape Financial Restrictions

Hassan Mehmood

ByHassan Mehmood

Mar 14, 2022

The government of Russia is currently going ahead with its military siege of Ukraine. The entire western bloc is planning and implementing a heavy set of restrictions on the country to stop it from advancing. Meanwhile, the Ukrainian military is battling against the foreign infiltration of the Russian Army in their main cities.

However, the west is making a big injury to the Russian nation by implementing financial restrictions and sanctions. Some western analysts believe that the Russian government will soon be locked out of all their financial reserves present aboard. Under these circumstances, the Russian government may seize the funds of their citizens that are currently valued at around 60 trillion rubles.

Westerns Countries have Imposed Heavy Sanctions Against Russia

Both USA and NATO countries are working diligently to block all possible financial channels that can help Russia. The Russian products are boycotted. The situation will soon create a big funding issue for the Russian government. The leader of the Communist Party Russian Federation or CPRF, Nikolai Arefiev, recently claimed that the government has limited options.

Speaking to the journalists at news.ru, he claimed that in the case of a big emergency, the government would have no choice but to use the funds of the Russian citizens to prevent a complete economic crash. The forex and gold reserves of Russian citizens are valued at $640 billion. Meanwhile, the 14 trillion rubles or $158 billion with another $70 billion are placed in the foreign banks outside of the country.

According to Deputy Duma Arefiev, in case the Russian government has to resort to using the funds from the oligarchs and citizens, it will have dire economic implications. He further explained that under the current circumstances, the government could not promise its citizens that their funds would be returned. On the other hand, the storm of inflation will hit the markets with a massive blow.

He further warned that it would take around 5 generations before the country would be able to pay off its debts. It is worth noting that the Russian ruble has already devalued considerably following the punitive war waged by USA and NATO nations. Some experts claim that the Russian people should convert their foreign reserves into Bitcoin that will provide them with unquestionable autonomy over their assets.

Hassan Mehmood

Hassan Mehmood

Hassan Mehmood, a valued writer at Big Trends Signals, uses his profound online trading expertise to produce in-depth guides and unbiased reviews, enabling traders to navigate digital marketplaces efficiently.

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