EU experiences economic fallout as Russian gas halt leaves minimal impact on Moscow

(MENAFN) The European Union could face economic losses exceeding 1 trillion euros (USD1 trillion) due to the halt in Russian gas imports, according to Kirill Dmitriev, CEO of the Russian Direct investment Fund (RDIF). Speaking at the Future Minerals Forum in Saudi Arabia on Thursday, Dmitriev highlighted the significant slowdown in the EU’s economic growth following the cessation of Russian gas supplies, contrasting it with Russia’s continued economic resilience.

After the escalation of the Ukraine conflict in 2022, the EU took steps to reduce dependency on Russian energy. While some member states voluntarily stopped importing Russian gas, others, including Austria, Slovakia, the Czech Republic, and Italy, maintained imports. However, these deliveries ended earlier this month after Ukraine declined to extend its gas transit agreement with Moscow.

“Europe is suffering from not receiving Russian gas, with expected losses of more than 1 trillion euros,” Dmitriev remarked. He previously linked these losses to the high costs of liquefied natural gas (LNG), which the EU has increasingly relied on to compensate for reduced Russian supplies.

Dmitriev also emphasized that the loss of the EU as a gas customer, along with sanctions targeting Russia's economy, have had minimal impact on the country. In contrast, he argued, the EU has shouldered the majority of the economic repercussions.

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