Russia’s war economy is facing significant challenges, with its reliance on imports and exports being severely impacted by the ongoing conflict in Ukraine.
The war has disrupted global supply chains, leading to shortages of key commodities such as oil and natural gas. This has resulted in a sharp decline in Russia’s export earnings, making it difficult for the government to maintain revenue streams.
Additionally, Western sanctions have further limited Russia’s access to international markets, exacerbating the economic downturn. The Russian ruble has also declined significantly against major currencies, reducing the value of its exports and further eroding investor confidence.
The economic situation in Russia is precarious, with many experts warning of a potential collapse of the war economy. The country’s economic output has already suffered significant losses, and the ongoing conflict shows no signs of abating.
Source: https://www.ft.com/content/61adaed4-ac9a-4891-afb6-b3ad648c58ad