this post was submitted on 28 Oct 2023
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Yes, and it's been going on for more than a year now. We already heard about huge deficits in the spring of this year.
I have been "analyzing" a bit on the Russian economy here from time to time.
In short they are burning through their war chest super fast. It should be emptying out around year end.
We just saw yesterday, their national bank is increasing interest rate from 13 to 15%, and simultaneously state that it will NOT be enough to keep inflation under the target of 4%.
We've heard that the economy suffer from worker shortage, and behaves like a strange limbo between an overheating economy, at the same time it's actually slowing down.
We are nearing the time where the impact will really be felt, both in government shortage of money, and in private economies.
The hike in interest rate now, especially interesting since EU has stated they will not increase their 4% interest rate now, as inflation is now falling.
So the Russian propaganda that EU is only hurting themselves, and it doesn't impact Russia, is clearly falling apart now.