Author: Lal Zazai

SWIFT ( The Society for Worldwide Interbank Financial Telecommunication) is a system which connects around 11,000 financial institutions all over the world. Some people call SWIFT a high security network used for sending unassailable messages and payment orders. An essential plumbing for global finance is lost out for Russia. Cutting Russia off from the SWIFT network could be a big knock.

What effects does removing Russia from SWIFT bring up for Russia economy?

A short view

1- Removing Russia from SWIFT makes financial institutions roughly disable to send money in or out of the Russia.

2- Russia is about to lose the foreign customers of oil and gas exports denominated in US dollars.

3- A shock to exports and imports

4- All international transactions are to be terminated.

5- It causes a huge capital outflows.

6- Russia will be highly losing its oil and gas exports revenue.

6- It disconnects Russia to foreign trade.

8- Russian Ruble plummets to record low.

9- A rapid shock to Russian companies and other financial institutions.

10- It shrinks Russian economy 5%.

11- Indeed, a huge cost is come to Russian economy.

Lal Zazai

February 25, 2022

Friday

Time: 7:06 p.m

Kabul-Afghanistan

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