Russia is showing signs of economic strain as a widening budget deficit and ongoing Ukrainian strikes challenge its financial resilience. These pressures come even as the conflict in the Middle East has pushed oil prices higher, providing Moscow with additional revenue from energy exports.
The combination of rising military spending, persistent sanctions, and the impact of Ukrainian attacks on key infrastructure is testing the country’s ability to maintain economic stability. While higher oil income offers some relief, analysts note that the structural weaknesses in Russia’s economy are becoming harder to ignore, raising concerns about the long-term sustainability of its wartime budget.