A Russian pension is only slightly below $200 USD. So people on a Pension in Russia, that don’t have anybody to help them are definitely suffering now, because of the high inflation.
The Russian economy is showing cracks all over the place. Declining Ruble, high inflation, locked bank accounts, frozen housing market. Officially the economy grew about 4% in 2004. But the military industrial complex and public spending on the war was way more than that, public military spending alone increased to about 30% of the federal budget, about 8% of the total economy, this alone is about equivalent to the 4% growth. But on top of that, deficits in the military industrial complex has been covered by the banks, so the actual costs are estimated to be about twice what the budget shows.
Those numbers alone indicate a 4% decrease in the civil economy for 2024. That may not sound like much, but it’s really really bad for a country to have such a huge decline in the total real economy.
All projections I’ve heard or seen expect 2025 to be worse. With possibility of real estate and financial markets cashing. If that happens in an already bad economy, it will be a serious crash of the total Russian economy, that will take more than a decade to recover from.
Russians are said to have high capacity for suffering, because they have hundreds of years of practice. So the current situation might not be considered that bad, but I doubt that most people will feel the same by the end of the year, and in 5 and 10 years.
A Russian pension is only slightly below $200 USD. So people on a Pension in Russia, that don’t have anybody to help them are definitely suffering now, because of the high inflation.
The Russian economy is showing cracks all over the place. Declining Ruble, high inflation, locked bank accounts, frozen housing market. Officially the economy grew about 4% in 2004. But the military industrial complex and public spending on the war was way more than that, public military spending alone increased to about 30% of the federal budget, about 8% of the total economy, this alone is about equivalent to the 4% growth. But on top of that, deficits in the military industrial complex has been covered by the banks, so the actual costs are estimated to be about twice what the budget shows.
Those numbers alone indicate a 4% decrease in the civil economy for 2024. That may not sound like much, but it’s really really bad for a country to have such a huge decline in the total real economy.
All projections I’ve heard or seen expect 2025 to be worse. With possibility of real estate and financial markets cashing. If that happens in an already bad economy, it will be a serious crash of the total Russian economy, that will take more than a decade to recover from.
Russians are said to have high capacity for suffering, because they have hundreds of years of practice. So the current situation might not be considered that bad, but I doubt that most people will feel the same by the end of the year, and in 5 and 10 years.