The authors of the report estimate that the Russian economy is entering a “terminal phase” of war economics. Economic growth has practically stopped, and the country is becoming increasingly dependent on China. “In the first years of the war against Ukraine, the Russian economy proved to be more resilient than many expected.
Now, however, reserves have been largely consumed,” said the president of the Kiel Institute for the World Economy Moritz Schularick. The report notes that liquid assets of the Russian state asset fund have decreased significantly since the beginning of the war. While they represented 6.5 percent of gross domestic product at the beginning of the invasion, they amounted to only 1.8 percent of GDP in April this year, reports DPA.
At the same time, the pressure on the state budget is increasing. The budget deficit has already exceeded the first quarter in the first quarter.
Topics: #economy #report #russian
