Jacques Sapir, Director of Studies at the School for Advanced Studies in the Social Sciences (EHESS) in Paris, one of the leading European experts on the Russian economy also warned that European economy is headed for turbulent waters over the next decade, including a potential energy crisis in the winter of 2023-24.
"The problem is how to restore, how to rebuild European competitiveness in ten years. Because the entry costs are much higher now, especially for oil and gas. With other countries like China and India buying oil at a much reduced price from Russia, the problem of competitiveness will be a very, very serious one. Just look at what is happening with Germany. The trade surplus of Germany has considerably decreased and the German economy is right now in a quiet high recession as a German GDP has been -0.5% for the last quarter of 2022, it's again -0.3% for the first quarter of the year."
"The problem is how to restore, how to rebuild European competitiveness in ten years. Because the entry costs are much higher now, especially for oil and gas. With other countries like China and India buying oil at a much reduced price from Russia, the problem of competitiveness will be a very, very serious one. Just look at what is happening with Germany. The trade surplus of Germany has considerably decreased and the German economy is right now in a quiet high recession as a German GDP has been -0.5% for the last quarter of 2022, it's again -0.3% for the first quarter of the year."
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