Tag: Economic Resilience
Denmark Backs New KSE Institute Center on Sanctions and Resilience
The Danish government is partnering with the KSE Institute to establish the Center for Geoeconomics and Resilience and the Sanctions Hub of Excellence. This initiative will strengthen KSE Institute’s sanctions research, economic resilience, and Ukraine’s post-war recovery. The Center will be led by Benjamin Hilgenstock and Yuliia Pavytska, with funding from Denmark’s Research Reserve and Ukraine Transition Programme.
Building Economic Resilience Through Sanctions Research
Denmark’s support comes amid Ukraine’s ongoing fight against Russia’s full-scale invasion. Since 2022, the KSE Institute has played a vital role in shaping global sanctions policy. The new Center will expand this work, deepening research into the economic effects of sanctions and strategies for Ukraine’s recovery.
By 2026, the Center aims to develop a broader macroeconomic research program, creating a hub for collaboration between Ukrainian and European experts. A new satellite office in Copenhagen, hosted by the Danish Institute for International Studies (DIIS), will further connect Ukrainian and Nordic analytical institutions.
Strengthening Strategic Research and Action
The project’s goal is to enhance analytical capacity on sanctions policy, economic stability, and post-war recovery. The team will study how sanctions impact Russia’s economy, develop proposals for new restrictive measures, and expose the operations of the “shadow fleet” used to evade sanctions.
Benjamin Hilgenstock will take on the role of Director of the Center, while Yuliia Pavytska will lead the Sanctions Hub. Key experts, including Nataliia Shapoval (President of KSE Institute), Elina Ribakova (Director of the International Affairs Program and Vice President for Foreign Policy at KSE), Anna Vlasyuk (Head of International Law and Policy Research), and Borys Dodonov (Head of the Center for Energy and Climate Studies) will play a central role in advancing the Center’s research and strategic initiatives. In addition, Olena Bilousova, Anatoliy Kravtsev, Kateryna Olkhovyk, Dmytro Pokryshka, Pavlo Shkurenko, Lucas Risinger, and Matvii Talalaievskyi will join the Sanctions Hub, continuing their exceptional work on sanctions policy and analysis.
Expanding the Partnership Between Denmark and Ukraine
Denmark’s investment underscores its leadership within the global sanctions coalition. The project is co-financed by Denmark’s Ministry of Foreign Affairs, Ministry of Defence, and Ministry of Higher Education and Science.
Further Reading
Read the full announcement on the Kyiv School of Economics website to explore the complete details of this new collaboration.
Visit the KSE Institute Sanctions Hub to explore in-depth monitoring of international sanctions against Russia. The Hub maintains a consolidated sanctions database and provides detailed reports on the impact of sanctions on Russia’s economy. It also features analyses of sanctions effectiveness, revealing patterns of enforcement and circumvention, as well as position papers and sectoral reports offering expert insights into key industries and policy recommendations from KSE researchers.
Visit the SITE Sanctions Portal to gain insights into sanctions on Russia and its economic retaliation measures. This resource provides a detailed timeline and comprehensive evidence base that brings together data, analysis, and expert commentary. It helps researchers, journalists, and policymakers navigate the evolving sanctions landscape. SITE Sanctions Portal explores the economic consequences of Western sanctions and Russia’s strategic responses.
Russian War Economy Faces Slowdown Despite Resilience
Since 2022, the Russian economy has surprised many with its resilience under Western sanctions. Growth was fueled by wartime spending and high energy revenues. Now, signs suggest this “war bump” is fading. In a recent Financial Times interview, Elina Ribakova explains why the Russian war economy faces serious challenges ahead. Elina Ribakova is vice-president for foreign policy at the Kyiv School of Economics. She spoke with Sam Fleming, economics editor at the Financial Times.
Sanctions and Short-Term Resilience
When Western nations imposed sanctions on Russia, many expected a collapse. Instead, wartime spending and high oil revenues propped up growth. Ribakova notes that Russia’s ability to redirect resources into military production created a temporary boom. But this resilience came at the cost of long-term growth in the Russian war economy.
Why the Russian War Economy Is Slowing
Russia is now hitting hard limits. Labor shortages, soaring inflation, and overstretched industrial capacity are beginning to bite. Ribakova points out that unemployment has fallen to unsustainably low levels, while non-military sectors are stagnating. Even the defense industry, once booming, is showing signs of strain across the Russian war economy.
China’s Critical Role
One reason Russia has endured sanctions is its growing reliance on China. Ribakova highlights how Chinese exports—from consumer goods to vital military components—have allowed Moscow to sustain its war economy. Yet this partnership is highly lopsided: for China, Russia is a marginal partner; for Russia, China is a lifeline.
The Postwar Challenge
Looking ahead, Ribakova warns that ending the war will not mean an easy recovery. Russia faces deep demographic challenges, heavy reliance on military production, and decades of failed economic diversification. Rebuilding a sustainable postwar economy may prove “devastatingly hard” for the Russian war economy.
Listen to the Original Interview
The slowdown of the Russian war economy is more than an economic story; it shapes global energy markets, security, and geopolitics. To hear the full conversation and Ribakova’s detailed analysis, listen to the original Financial Times interview here.
Learn More About the Russian War Economy and Sanctions
To learn more about Western sanctions and Russia’s countermeasures, visit the Sanctions Timeline. And for details on sanctions imposed on Russia and their effects, see the Evidence Base section of the sanctions portal. Explore more policy briefs on sanctioning Russia here.
Are the Sanctions on Russia Finally Working?
Russia’s brutal war in Ukraine is now in its fourth year. In recent weeks, President Donald Trump has held several high-level meetings to explore ways to end the conflict. How serious are these efforts, and what would it take to ensure Ukraine’s long-term security?
When Russian forces invaded in February 2022, many expected Western sanctions to cripple Moscow’s economy and limit its ability to fight. Yet, Russia’s economy has remained surprisingly strong. What explains this resilience? And what could the international community have done differently?
Today, signs of economic slowdown are becoming clear in Russia. Could this downturn finally start to weaken the Kremlin’s war machine? What effect might a recession have on the battlefield? And how can Ukraine’s allies keep supporting the country while preparing for reconstruction and future EU membership?
These questions were discussed by:
- Cecilia Malmström, Nonresident Senior Fellow at the Peterson Institute for International Economics (PIIE)
- Torbjörn Becker, Director of the Stockholm Institute of Transition Economics at the Stockholm School of Economics,
- Jacob Funk Kirkegaard, Nonresident Senior Fellow at PIIE.
For more information about the event, visit the Peterson Institute for International Economics.
To learn more about sanctions on Russia and Russian economic retaliation, explore the SITE Sanctions Project — a hub that collects, organizes, and shares insights, data, and analysis on the evolving landscape of sanctions against Russia.
OECD DevTalks: The Transformation and Reconstruction of Ukraine
The war in Ukraine, caused by Russia’s invasion, remains a profound humanitarian crisis with far-reaching economic and social consequences worldwide. In response, the Organisation for Economic Co-operation and Development (OECD) has strongly condemned Russia’s actions. Moreover, it is now advancing a new strategy to strengthen Ukraine’s recovery and reconstruction efforts.
The OECD’s work builds on a Memorandum of Understanding first signed with Ukraine in 2014 and renewed in 2021. Since then, the organisation has deepened its collaboration with Ukrainian partners to rebuild the nation’s economy and institutions. In addition, the OECD Development Centre plays a crucial role by providing policy expertise and data-driven analysis. It supports multiple sectors, including governance, innovation, and sustainable growth. As a result, these coordinated efforts aim to help Ukraine achieve long-term stability and resilience.
Webinar on Ukraine’s Economic and Social Transformation
On Tuesday, 17 May 2022, the OECD DevTalks series hosted a high-level webinar focusing on Ukraine’s economic and social transformation, both before and after the full-scale invasion. The event gathered leading economists, policymakers, and development experts to discuss:
- The state of Ukraine’s economy prior to 2022
- The impact of the war on social and economic structures
- Priorities for reconstruction and recovery
- The role of international support and cooperation
This discussion contributed to shaping a shared vision for Ukraine’s future, highlighting the resilience of its people and institutions amid ongoing challenges.
Distinguished Speakers
- Mathias Cormann, Secretary-General, OECD
- Vadym Omelchenko, Extraordinary and Plenipotentiary Ambassador of Ukraine to France
- Yuriy Gorodnichenko, Quantedge Presidential Professor of Economics, University of California, Berkeley
- Nataliia Shapoval, Head of KSE Institute & Vice President for Policy Research, Kyiv School of Economics
- Tymofii Brik, Acting Wartime Vice-President of International Affairs & Head of Sociological Research, Kyiv School of Economics
- Torbjörn Becker, Director, Stockholm Institute of Transition Economics (SITE), Stockholm School of Economics
- William Tompson, Head of Eurasia, Global Relations and Co-operation, OECD
- Ragnheidur Elín Árnadóttir, Director, OECD Development Centre
About OECD DevTalks
OECD DevTalks is a continuing series of expert panel discussions and blogs organized by the OECD Development Centre. Each session brings together global thought leaders to exchange ideas on sustainable development, inclusive growth, and policy innovation. For more #DevTalks – a series of online panel discussions, along with Development Matters blogs, follow the OECD #DevTalk page.
Disclaimer: Opinions expressed during events and conferences are those of the authors; they do not necessarily reflect those of the FREE Network and its research institutes.