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Business News/ News / World/  Russia-Ukraine War: Two years of war, Europe grapples with mounting costs as EU tightens sanctions on Russia. 10 points
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Russia-Ukraine War: Two years of war, Europe grapples with mounting costs as EU tightens sanctions on Russia. 10 points

The war in Ukraine reached its second anniversary, marked by a protracted conflict and immense human suffering. The European Union imposes its 13th package of sanctions on Russia, further isolating the nation.

The second anniversary clashes with heightened tensions as the US announces its largest single package of sanctions against Moscow. Premium
The second anniversary clashes with heightened tensions as the US announces its largest single package of sanctions against Moscow.

Ukraine's invasion by Russia marks its 2 years on February 24, 2024. Earlier it was expected to be a swift military operation but it turned into a protracted conflict, leaving a trail of devastation and human suffering. As the world marks this sombre anniversary, the European Union has implemented its 13th package of sanctions, further isolating Russia. David Cameron was expected to be among the speakers at an evening meeting alongside his Ukrainian counterpart Dmytro Kuleba. Here is all you need to know: 

Europe Grapples with Difficult Questions

As the world is witnessing the invasion marking its second anniversary today, Europe is grappling with some searching questions about the war and its future. Arguably the most pressing: how long can it sustain the draining financial and military support for Ukraine? 

Whispers of fatigue are growing, particularly as the war shows no signs of immediate resolution and unity within the European Union and NATO faces challenges.

The Invasion and Early Stages

  • On February 24, 2022, Russian forces on the order of Vladimir Putin, President of Russia started a multi-pronged attack on Ukraine, aimed at capturing major cities like Kyiv, Kharkiv, and Odessa. 
  • However, they were met with fierce resistance from Ukrainian troops and a galvanised citizenry. 
  • The initial weeks saw intense fighting, particularly around major population centres. Russia employed shelling and airstrikes, causing widespread destruction and civilian casualties.
  • The second-anniversary clashes with heightened tensions as the US announces its largest single package of sanctions against Moscow. 
  • These sanctions target Russia's military and aim to cripple their war effort. 
  • Additionally, the EU has implemented its 13th package of sanctions, further isolating Russia. 
  • Moscow, in response, has imposed counter-sanctions on EU officials, according to a report by Independent.
  • Sanctions and export controls have been implemented to slow Russia down, "making it harder for them to fight their war of choice," Deputy US Treasury Secretary Wally Adeyemo said, as quoted by Independent report.
  • The US has unveiled its most extensive sanctions package yet, targeting over 500 entities. 
  • These include Russia's military industry and companies in other countries that aid Russia in acquiring restricted goods, the report further added.

Geopolitical and Economical Impact

The war has severely damaged Ukraine's economy, with a decrease of approximately 30-35% of GDP in the first year alone. Additionally, the conflict has negatively affected neighboring economies, resulting in increased defense spending and inflationary pressures, according to a report by Economics Observatory.

Additionally, European energy companies are facing challenges due to the need to find alternative oil and gas suppliers to replace Russian imports, resulting in higher transportation costs, according to S&P Global data.

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Published: 24 Feb 2024, 11:05 AM IST
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