Russia's Economy Crumbles Amid War's Toll

As Vladimir Putins war on Ukraine enters its fourth winter, Russians are grappling with its escalating impact on their daily lives. Central and southern regions face direct conflict, with drones and missiles targeting energy sites and residential buildings. Air raid sirens blare nightly, reminding citizens of the wars encroachment. Beyond the front lines, Moscow and other regions feel the economic strain, with households cutting food spending and industries like steel, mining, and energy struggling. The countrys economic resilience, once bolstered by government spending and energy revenues, is now severely tested. The fallout is exacerbated by U.S. pressure to curb oil and gas revenue flowing to Moscow. Talks are shifting, with negotiations reportedly working on a package that could offer sanctions relief. The average weekly grocery bill has more than doubled, forcing families to reconsider spending. Sales of essential goods have dropped significantly, and the retail sector is undergoing a major shake-up. Many analysts still expect modest growth, but a Moscow-based think tank concluded that a recession is almost inevitable. The steel industry is in crisis, coal mining faces its worst situation in a decade, and the banking sector is struggling with a rise in troubled corporate and retail debt. These factors point to a steady deterioration in economic conditions for Russia.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.