Russia’s war economy is not collapsing, but neither is it stable. It survives by pushing strain into the future – into labour markets, public finances and the everyday lives of Russian households.

China buys Russian oil and gas at steep discounts while supplying Moscow with machinery and electronics as Western sanctions tighten.

Oil revenue is a key part of Russia’s economy, allowing President Vladimir Putin to pour money into the war effort against Ukraine without worsening inflation for everyday people and avoiding a currency collapse.

Russia's economic growth rate is undergoing an expected slowdown this year, Russian President Vladimir Putin said on Monday. "This year, the growth rate of the Russian economy has passed the expected stage of slowdown.

Russia saw a surge in consumer spending after its 2022 invasion of Ukraine, even as sweeping sanctions hit the economy.

MOSCOW (Reuters) -Russia sees economic growth in 2025 slowing to 1.5%, far below the earlier 2.5% forecast, as high interest rates imposed to reduce inflation have stifled borrowing, Finance Minister Anton Siluanov told President Vladimir Putin on Wednesday.

Since early December, the Russian ruble has continued to strengthen against global currencies: on Dec. 7, it reached a value of only 76 rubles for one U.S. dollar, a figure unseen since May 2023. It soon dropped to 79 rubles per U.

Russians are starting to notice. In a recent survey, says Vladimir Zvonovsky, a sociologist in the Russian city of Samara, the number of those saying their well-being was deteriorating was triple those saying it was improving. It is now at the highest level since the start of the war.

In 2024 alone, ENISA, the European Union Agency for Cybersecurity, logged more than 11,000 serious cyber incidents across the European Union.

India gave Russia's leader a warm welcome in his first visit since his country invaded Ukraine. The visit in part signaled India's defiance of the U.S., which has punished New Delhi for buying Russian oil.

Russia's war-driven boom is starting to look hollow from the factory floor and the front line. As troops and industrial workers complain of delayed or missing wages, the Kremlin's promise of stability is colliding with the hard limits of a budget stretched by conflict,