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Stockholm Institute of Transition Economics

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Sverige
Stockholm
Stockholm Institute of Transition Economics

SITE's ambition is to serve as a bridge between the academic community and policy makers.

SITE is a leading research and policy center on economic development in low-and middle income countries, with a particular emphasis on transition in the former Soviet Union and Central and Eastern Europe. To promote communication and the sharing of ideas SITE regularly organizes policy oriented conferences and seminars. Through SITE, policy makers, scholars as well as representatives of major inte

rnational financial institutions get an avenue to present new findings and political initiatives to a wide audience from the Swedish government, private businesses, media, and academics as well as members of the international diplomatic circle in Stockholm.

28/08/2026

Russia’s fuel shortages are becoming increasingly difficult for the Kremlin to ignore.

In a recent article by EFN Ekonomikanalen, SITE researchers Maria Perrotta Berlin and Torbjörn Becker comment on Putin’s acknowledgement of the country’s fuel supply problems following continued Ukrainian attacks on Russian energy infrastructure.

Perrotta Berlin notes that Putin’s decision to publicly acknowledge the issue is significant, particularly given the Kremlin’s tendency to downplay negative developments. "His efforts to shift responsibility toward the government may indicate that the situation is more serious than publicly admitted.", says Perrotta Berlin.

Becker adds that the response follows a familiar pattern: when a problem can no longer be ignored, responsibility is placed elsewhere to distance Putin from its consequences.

➡️Read the full article (in Swedish): https://efn.se/synar-putins-erkannande-letar-efter-skyldiga

💡Learn more about the state of the Russian economy in the latest Kiel Institute report co-authored by Torbjörn Becker: https://www.kielinstitut.de/publications/endgame-the-state-of-the-russian-economy-19855/?fbclid=IwY2xjawT81AJwZG9mAWV4dG4DYWVtAjEwAGJyaWQRMGYzbFJYTnhRcnliZ0FvOTJzcnRjBmFwcF9pZBAyMjIwMzkxNzg4MjAwODkyAAEeoIrZIoAOGZ_tBo4NpUTvcigdaeQAUISJ0QadeBclpm_bt8T4FzZLb3NToL4_aem_qqZaUl1JCMlYEkNHhD6xyQ

🔎 Visit the SITE Sanctions Portal to gain insights into sanctions on Russia and its economic retaliation measures: https://sanctionsrussia.org/

27/08/2026

Ukrainian drone attacks on Wildberries, Russia’s largest online retailer, could add further strain to an already vulnerable Russian financial system.

Speaking to Danish business newspaper Børsen, Anders Olofsgård, Deputy Director at SITE, highlights several warning signs in the Russian economy: high real interest rates, a growing share of problematic loans and declining profitability in the financial sector.

Wildberries reportedly owes around $10 billion to Russia’s largest banks, while many of the small businesses selling through the platform also depend on loans from smaller financial institutions. According to Olofsgård, the attacks therefore increase the risk of financial instability and, potentially, a banking crisis.

At the same time, he stresses that financial crises are notoriously difficult to predict. Russia’s state-controlled financial system also gives the authorities considerable capacity to intervene and contain the consequences.

➡️ Read more in Børsen (In Danish): https://borsen.dk/nyheder/udland/hun-byggede-et-imperium-med-putin-i-ryggen-nu-kan-det-udlose-en-finansiel-krise

26/08/2026

How has Russia’s approach to internet control changed since the full-scale invasion of Ukraine?
In a new FREE Network Policy Brief, SITE researchers Violaine D'ortona, Jonathan Lehne and Maiting Zhuang examine the evolution of internet censorship in Russia and document a sharp increase in internet disruptions, platform restrictions and website censorship since 2022.

Drawing on three complementary datasets—from Access Now’s Shutdown Tracker Optimization Project (STOP), the Internet Outage Detection and Analysis (IODA) initiative, and the Open Observatory of Network Interference (OONI) - the authors show how Russia has moved from a relatively decentralised system of internet regulation towards an infrastructure capable of centrally monitoring, filtering and controlling internet traffic.

The brief highlights how this transformation has enabled increasingly sophisticated restrictions on access to the global internet, bringing Russia closer to a model of tightly controlled domestic connectivity.

➡️ Learn more: https://www.hhs.se/news/site-publications/2026/russia-internet-censorship-and-state-control/

25/08/2026

Record cash withdrawals from Russian banks are raising concerns about growing financial instability.

During the first two weeks of August, Russian residents withdrew more than RUB 286 billion from the country’s banks, according to data from the Central Bank of Russia. The withdrawals come amid fears that private assets could be used to help finance Russia’s war against Ukraine.

Speaking to Swedish newspaper Dagens Nyheter, SITE Director Torbjörn Becker describes the situation as a classic bank-run scenario:

“The financial system is built on trust. As soon as people start questioning whether they will actually be able to withdraw their money, many may rush to the banks at the same time.”

Becker notes that risks have accumulated throughout the war, including through extensive bank lending to the military-industrial sector and a growing volume of problem loans. A sustained loss of confidence could, in the short term, contribute to a banking crisis and, over time, weaken economic growth.

➡️ Read the full article (in Swedish): https://www.dn.se/varlden/ryssar-tar-ut-rekordstora-summor-fran-banken-kris-hotar/

💡 Learn more about the state of the Russian economy in the latest Kiel Institute report co-authored by Torbjörn Becker: https://www.kielinstitut.de/publications/endgame-the-state-of-the-russian-economy-19855/

24/08/2026

Why are economists concerned about gender gaps in society?

In a new American University of Armenia (AUA) Focus Series interview, Pamela Campa Associate Professor at the Stockholm Institute of Transition Economics (SITE), discusses gender inequality through an economics lens - from occupational segregation and women’s labor market participation to political representation and evidence-based policy.

As Campa explains, reducing barriers to women’s participation is not only a question of fairness: it can also help societies make better use of their available talent.

➡️ Learn more: https://www.hhs.se/news/site-publications/2026/pamela-campa-on-gender-gaps/

18/08/2026

What could repeated drone attacks on Russia’s largest e-commerce company mean for the wider Russian economy?

SITE Director Torbjörn Becker spoke to Svenska Dagbladet (SvD) about the growing financial pressures surrounding Wildberries, a company with significant debts and close ties to the state-owned bank VTB.

The impact could extend well beyond Wildberries. Hundreds of small businesses use the platform to sell their products, while problems servicing large loans could put additional pressure on the banking sector. Becker also notes that non-performing loans are becoming an increasing concern in Russia.

If difficulties begin spreading between companies, banks and the state, the costs of intervention could become substantial.

“This is not pocket change. We are talking about significant amounts for the Russian state budget,” Becker tells SvD.

➡️ Read more (in Swedish): https://www.svd.se/a/zO9JnK/sa-skakar-attacker-mot-wildberries-ryska-banken-vtb

🔎 Learn more about the state of the Russian economy in the latest Kiel Institute report co-authored by Torbjörn Becker: https://www.kielinstitut.de/publications/endgame-the-state-of-the-russian-economy-19855/

💡 Visit the SITE Sanctions Portal to gain insights into sanctions on Russia and its economic retaliation measures: https://sanctionsrussia.org/

17/08/2026

Can simple information help create workplace environments with less tolerance for sexual harassment?

A new FREE Network Policy Brief by SITE researcher Olle Folke examines this question using evidence from a randomized field experiment in the Norwegian military.

Recruits received factual information correcting common misperceptions about their peers’ views of sexualized jokes and about women’s military competence. The intervention significantly reduced tolerance for sexual harassment, and around half of the effect remained eight weeks later.

The study also identifies an important challenge for researchers: greater awareness can make people more likely to recognize and report problematic behavior, making behavioral improvements harder to detect through self-reported data alone.

The findings show the potential of simple, low-cost information interventions to shift workplace norms while offering valuable lessons for future research on harassment prevention.

➡️ Learn more: https://www.hhs.se/news/site-publications/2026/reducing-sexual-harassment-tolerance-with-information/

Visit Forum for Research on Eastern Europe and Emerging Economies to access more policy brief: https://freepolicybriefs.org/

14/08/2026

European support for Ukraine remains strong - but is it becoming more politically divided?

In a new policy brief, SITE researchers Jonathan Lehne and Maiting Zhuang analyse Eurobarometer data covering more than 185,000 respondents across the EU between 2022 and 2024.

Their findings show that overall support for Ukraine remains high, but political polarisation has increased over time. The divide is particularly pronounced for policies such as sanctions against Russia and military aid, while support for humanitarian assistance remains broader and less politically contentious.

The differences across countries are substantial. Sweden continues to show near-universal support for sanctions across the political spectrum, while countries including Austria, the Czech Republic and Slovakia experienced some of the largest increases in polarisation.

The brief also points to possible drivers. Countries with higher inflation between 2022 and 2024 tended to exhibit greater political polarisation over sanctions, while polarisation also increased somewhat around national elections.

The findings highlight both the resilience - and the growing fragility - of European political support for Ukraine.

➡️ Learn more: https://www.hhs.se/news/site-publications/2026/eu-support-for-ukraine/

🔎 Visit the SITE Sanctions Portal to gain insights into sanctions on Russia and its economic retaliation measures: https://sanctionsrussia.org/

13/08/2026

The EU’s sanctions are intended to reduce Russia’s ability to finance its war against Ukraine. Yet despite the ban on Russian steel imports, an important exemption remains for so-called steel slabs - semi-finished products used in the automotive, construction, and engineering industries. According to Eurofer, the EU imported around 3.7 million tonnes of Russian steel slabs in 2025.

In a recent interview, Torbjörn Becker, Director of SITE, highlights the broader economic consequences of such exemptions. He estimates that replacing Russian steel slabs with imports from other countries would cost the EU around €100–200 million, while Russia could lose between €1–2 billion in revenues.

“The sanction could cost Russia perhaps ten times more than it costs us.”

Becker argues that the debate should not focus only on the cost of sanctions for Europe, but also on the cost of allowing Russian export revenues to continue.

“We must also ask what it costs not to impose the sanctions.”

➡️ Watch the segment aired on August 3 on SVT (in Swedish): https://www.svt.se/nyheter/utrikes/eu-forbjod-ryskt-stal-miljardhandel-fortsatter-genom-undantag

💡 Learn more about the state of the Russian economy: https://www.kielinstitut.de/publications/endgame-the-state-of-the-russian-economy-19855/

🔎 Visit the SITE Sanctions Portal to gain insights into sanctions on Russia and its economic retaliation measures: https://sanctionsrussia.org/

24/07/2026

🇺🇦 Why has support for Ukraine evolved so differently across Europe?
https://freepolicybriefs.org/2026/05/18/how-polarised-is-support-for-ukraine/

🔎 Jonathan Lehne and Maiting Zhuang from the Stockholm Institute of Transition Economics (SITE) introduce a polarisation index to compare trends across countries and examine public attitudes towards support for Ukraine.

🔗 Discover more policy briefs on political economy and Ukraine: https://freepolicybriefs.org/topics/political-economy/

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