The war in Ukraine and the imposed economic sanctions are causing sharp declines in russia's banking sector.
In the past week, the disconnection of the Russian banking system from Swift began, a move that appeared to be the West's economic doomsday weapon against Russia, meaning that Russia will not be able to make transfers for import and export operations that are made and oil companies will not be able to receive money for the oil they sell outside the country.
As a result, panic is beginning to arise among the Russian population, we are experiencing a historical event called the "bank run" last seen in the subprime crisis (2008) against the British bank Northern Bank and has always been a major concern for the banking systems in financial crises.
"Bank run" is a situation in which many customers demand to cash in their savings at once because they fear that the bank will not be able to provide their money, this expectation can cause a liquidity problem, the collapse of the bank or the collapse of the national financial system.
Credit Suisse's chief strategist said the move could force central banks to provide liquidity, as they did in the Lehman Brothers crisis in 2008.
The ruble has fallen by about 30% since the beginning of the war and now stands at 110 rubles per dollar. Russia's largest bank, Severbank, is down from its peak at about 99%.
Will economic sanctions ultimately overwhelm Putin from the fighting in Ukraine, or will we just annoy him more and we are toward an escalation?