The war against Ukraine is undermining Russia’s own economy

Russia’s economic aggression against Ukraine is also having serious consequences for Russia itself. This was stated by an expert from the Bank of Finland, whose assessment was cited by Yle.
According to him, Russian industry is operating in a mode of “war economy”, with resources directed primarily toward arms production and sustaining the front. At the same time, other sectors – from civilian engineering to services – are rapidly deteriorating.
“Russia’s economy is functioning under conditions of mobilization. This means that there are no investments, workforce, or technologies left for peaceful projects,” the expert noted.
Analysts at the Bank of Finland believe that Russia’s current economic model is not sustainable: it provides short-term military output but deprives the country of prospects for long-term development.
According to experts, a return to a peacetime economy in the foreseeable future is impossible. The reasons include both the ongoing war and sanctions pressure, which restrict access to modern technologies and financial markets.
Latest news
Latest news51% of Bulgarians Plan to Vote: Radev Maintains Lead
11.Mar.2026
Brussels Raises a Red Flag: Georgia’s Democratic Reforms under EU Scrutiny
11.Mar.2026
An Unprecedented Power Transition in Iran: Ali Khamenei’s Son Becomes the New Supreme Leader
10.Mar.2026
Russia Warns of a Potential Energy Shock due to Escalation in the Middle East
10.Mar.2026
Iran Attacks Gulf States Despite President’s Apology
08.Mar.2026
War Without Negotiations: U.S. Signals Possible Elimination of Iran’s Leadership
08.Mar.2026
Putin and Pezeshkian Discuss Iran Escalation Amid Moscow’s Cautious Stance
07.Mar.2026
Iran’s President Pledges Not to Strike Neighbors in Bid to Ease Tensions
07.Mar.2026
Postponed Talks and Emerging Threats: Ukraine Becomes a Hub of Strike Drone Expertise
06.Mar.2026
Armenia Strengthens Digital Infrastructure With New Starlink Terminals
06.Mar.2026

15 Mar 2026


