Russia’s economy is resilient, but the population may be tired of war spending

• Amid the war with Ukraine, which has entered its third year, Russia’s economy is showing signs of strength.
• But it is uncertain whether Russians themselves will be able to withstand the effects of war much longer, economic historians told the Guardian.
• Military spending reaches 40% of Russia’s budget, overshadowing social spending.

After more than two years of war with Ukraine, Russia’s economy appears to be showing resilience, but even Russians themselves may be growing impatient, experts say.

The Russian government has increased military spending this year, devoting about 40% of the budget to defense and security.

As a result, life in Russia appears to be maintaining normalcy, but “President Putin, like us, knows nothing about the tolerance of the Russian people,” says economic historian and professor emeritus at the University of Warwick. Mark Harrison told the Guardian. Saturday’s report.

“For authoritarian leaders, this process of feeling limited is different,” Harrison told the outlet. Because I know,” he added.

Despite the West’s sweeping sanctions over the invasion of Ukraine, Russia’s GDP growth rate fell by 1.2% in 2022 to 3.6% in 2023. The International Monetary Fund predicts that economic growth will continue and is expected to grow by 2.6% in 2024.

Experts say Russia’s growth has been driven primarily by war spending and subsidies. This means that ordinary Russians will hardly benefit from growth.

Former Russian central bank official Alexandra Prokopenko wrote in January: foreign affairs Russia’s current military spending is reportedly overshadowing social spending for the first time since the collapse of the Soviet Union.

“The turn toward a militarized economy threatens society and development needs,” wrote Prokopenko, a scholar at the Carnegie Russia and Eurasia Center and a fellow at the Center for Eastern European and International Studies. ing.

Russia also labor shortage war and Massive brain drain.

An International Monetary Fund official said: CNBC Earlier this month, we learned that Russia’s economy is starting to resemble that of the Soviet Union.

President Putin is seeking a fifth presidential term in Russia’s elections scheduled for March. The 71-year-old Russian leader expected to win Race against 3 opponents.