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The Russian economy is holding up…for now

2024-03-17T08:16:00.342Z

Highlights: Despite the war, despite the sanctions, the country's economy is running at a comfortable rate of 2 to 3% annual growth. The many experts who predicted its collapse are reduced to doubting the veracity of the Russian figures. In 2024, when Vladimir Putin begins a new term, Russia is expected to post economic growth three times that of Europe. It is not despite the war that Russia resists, but thanks to the war. A distortion of the economy to the detriment of traditional sectors, which on the contrary suffer from a shortage of resources.


Energy sanctions have actually penalized Europe more. A painful boomerang effect for our purchasing power, which has yet


In 2024, when Vladimir Putin begins a new term, Russia is expected to post economic growth three times that of Europe.

Despite the war, despite the sanctions, the country's economy is running at a comfortable rate of 2 to 3% annual growth.

The many experts who predicted its collapse are reduced to doubting the veracity of the Russian figures.

It's a bit short.

Here we must give way to Marcel Proust: the “although” are often “because” that we ignore, the famous prose writer tells us.

It is not despite the war that Russia resists, but thanks to the war.

At the cost of a tremendous shift of financial and human resources towards the military production apparatus, which is operating at full capacity, in particular the factories in the Ural region.

A distortion of the economy to the detriment of traditional sectors, which on the contrary suffer from a shortage of resources.

Automobile production has thus been divided by four, with only local and Chinese manufacturers remaining after the departure of Westerners.

Agriculture is struggling due to lack of tires for tractors.

Household consumption shifted to local, ersatz products, as in times of war.

Transport and energy infrastructure is deteriorating due to lack of maintenance and spare parts.

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Source: leparis

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