The impact of foreign sanctions on firm performance in Russia
Journal: The British Accounting Review
Year: 2025

We assess the economic effects of recent sanctions on Russian firms’ fundamental performance. We find that foreign sanctions leave energy firms in Russia unaffected but do undermine firm performance in the other (non-energy) sectors. While firms with connections to Russian oligarchs linked to Putin are unaffected, sanctions do not differentiate in their impact between firms with Russian and foreign origins. We provide evidence of decreased investment sensitivity to cash flows under the impact of