U.S. sanctions have complicated the repatriation of export earnings to Russia. Foreign banks are refusing to process payments to both sanctioned and non-sanctioned Russian financial institutions.
Analysts predict that, following the tightening of U.S. sanctions on Russia's banking sector, Russian exporters could fail to repatriate up to 30% of their foreign currency earnings.
The difficulties in conducting transactions are leading to a decline in foreign trade volumes. Due to the risks of non-repatriation, Russian companies are forced to reduce both export and import supplies.
According to a survey by the Institute of National Economic Forecasting of Russia, 69.3% of companies are experiencing negative impacts from the sanctions. Specifically, 62.4% of companies face difficulties in importing components and raw materials, while 17% report challenges with payments through banks.
There is also an increase in the cost of cross-border operations, with companies resorting to payment agents. The total transactional costs amount to 20% of the transaction amount.
The worsening difficulties in the repatriation of export earnings to Russia are a sign of the effectiveness of Western sanctions. These restrictive measures exacerbate the financial crisis in Russia, partially cut the country off from global goods and services markets, and limit the inflow of funds into the federal budget.
