Russia’s sluggish economy is not a function of the Ukraine crisis or sanctions, but reflects long term economic trends

One of the underlying factors in the Ukraine crisis is the health of the Russian economy, including the impact that EU and US sanctions could potentially have in bringing about a change in policy. Pekka Sutela writes that while Russia is currently experiencing sluggish economic growth, this has more to do with long-term structural weaknesses than the direct effects of the Ukraine crisis. He notes that a side effect of Russia’s economic decline is that Vladimir Putin’s popularity with Russian citizens is now based largely on foreign affairs and social conservatism, rather than the economic performance which underpinned his appeal during the 2000s.