Tuesday, 02 January 2024 12:17 GMT

Moscow develops new economic mechanism despite Western sanctions—FM


(MENAFN) Russia says it is “successfully adapting” to Western sanctions by establishing alternative economic mechanisms and strengthening ties with non-Western countries, according to Foreign Ministry spokeswoman Maria Zakharova.

Speaking to Tass, Zakharova emphasized that Russian foreign policy and economic diplomacy are now focused on creating “reliable conditions” for collaboration with countries of the “global majority.” She added: “The geopolitical context is changing dynamically, but Russia has learned to develop antidotes to this poison. Large-scale sanctions aimed at isolating our country financially and technologically have not achieved their goals.”

Zakharova said the government is prioritizing alternative financial systems, trade in national currencies, and closer cooperation with BRICS nations and other partners. She also dismissed Western claims of economic decline, noting that the EU faces its own sanctions-related challenges.

BRICS, she explained, is a “non-confrontational platform” focused on equality and mutual benefit, and no member has plans to leave despite criticism from the West.

Meanwhile, the market value of Russia’s top two oil producers, Rosneft and Lukoil, dropped by $5.2 billion following new U.S. sanctions against the companies and their subsidiaries. Rosneft shares fell 3% to 389.85 rubles ($4.19), their lowest level since May 2023, while Lukoil’s stock dropped 7.2% over two days.

Analysts warned that these sanctions, the first under Donald Trump’s renewed presidency, could further weaken Russia’s energy sector and limit cooperation with foreign partners.

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