Putin prioritizes war despite economic strain on Russia – CCD

10.12.2024 01:36

Ukrinform

The head of the Center for Countering Disinformation at Ukraine's National Security and Defense Council, Andrii Kovalenko, has said that Russian leader Vladimir Putin's focus on continuing the war against Ukraine is pushing Russia toward severe economic depletion, which could have repercussions for several generations.

Kovalenko said this in a post on his Telegram channel, Ukrinform reports.

"Russia's financial resources are being drained. As of December 1, the total value of Russia's National Welfare Fund stood at $121.6 billion, including $53.8 billion in liquid assets. In February 2022, liquid assets amounted to approximately $140 billion," he said.

Kovalenko said that "most of the liquid assets are held in Chinese yuan, and Russians sell gold to cover the budget deficit."

"The reduction in liquid assets is a sign of dwindling Russian financial resources. At the same time, Russia is spending a third of its budget on the defense sector in 2025-2027. This indicates that Putin prioritizes the continuation of the war against Ukraine, which will lead to the economic exhaustion of the Russian Federation for several generations," the expert said.

Earlier reports said that Putin had signed the law on the country's federal budget for 2025-2027, with record levels of military spending.