British intelligence foresees inflation, higher pressure on businesses in Russia in 2024

The British Ministry of Defense reported its findings on X (formerly Twitter), citing intelligence data, Ukrinform saw.

In contrast, education and healthcare expenditures will be frozen at the 2023 allocation, which amounts to a real term spending cut due to inflation.

Russia will require additional costs to fund payments and healthcare costs for the mounting numbers of wounded soldiers and the families of those killed in action. More than half of those soldiers wounded severely enough to require longer term medical care have lost limbs, with one in five requiring upper limb amputations, Deputy Minister of Labor Alexei Vovchenko said on October 17.

These injured soldiers will almost certainly require lifelong treatment.

“Constantly heightened military spending will highly likely contribute to inflationary pressures within Russia. Furthermore, continued increases in military spending will force the Russian government to make difficult decisions about how to fund the war, likely increasing financial pressures on Russian businesses,” the report reads.

As Ukrinform reported earlier, Russia’s military death toll in Ukraine as of October 23 stood at 294,799. Another 870 Russian soldiers were killed in action in the past day alone.