Torbjörn Becker: Drone Strikes Undermine Russia’s War-Funding Revenues

A surge of Ukrainian drone strikes on Russian oil refineries has triggered widespread gasoline shortages across the country. These attacks directly threaten one of Russia’s main sources of income, its energy sector.

Drone Strikes Expose Russia’s Dependence on Energy Revenues

In a report by Finland’s public broadcaster YLE, experts analyzed the coordinated assaults and their mounting economic consequences. At least 14 of Russia’s 38 refineries have been hit, disrupting roughly 20 percent of the nation’s refining capacity. The campaign represents a new stage in Ukraine’s efforts to erode Russia’s revenue base and weaken its wartime economy.

“They remind the Russian people that a war is ongoing in Ukraine, but they also strike at Russian revenues. Oil and gas income is absolutely essential for financing Russia’s offensive war against Ukraine,” said Torbjörn Becker, Director of the Stockholm Institute of Transition Economics (SITE).

Torbjörn Becker further emphasized that economic pressure has become a central pillar of Ukraine’s broader defense strategy.

Economic Fallout Deepens as Russia Faces Fuel Shortages and Export Bans

The YLE article also explored the economic and political fallout within Russia. Gasoline shortages have been reported in at least 21 regions, prompting authorities to extend export bans and enforce rationing. Analysts cautioned that prolonged attacks could force refinery closures, limit exports, and damage Russia’s image as a reliable energy supplier. Becker added that the strikes could send shockwaves through global energy markets, increasing volatility and uncertainty.

To read the full YLE report and Torbjörn Becker’s full commentary, visit the complete article. For additional expert insights from SITE, explore the institute’s official webpage.

Further Reading

Reducing Russia’s financial capacity to sustain its unjust war against Ukraine requires a comprehensive, multi-layered approach. Explore the latest research on sanctions against Russia in the Sanctions Portal Evidence Base. Learn about the major sanction packages introduced by Western allies following Russia’s full-scale invasion of Ukraine, as well as the corresponding countermeasures, by visiting the Timeline of Western Sanctions and Russian Counteractions.

To read more policy briefs on sanctions and the Russian economy, visit the FREE Network website.