Russia’s 2025 Budget Deficit Triples as Sanctions and Oil Prices Bite
Crisis in Russia, Economy & Business

Russia’s 2025 Budget Deficit Triples as Sanctions and Oil Prices Bite

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One of the clearest signs of strain inside the Kremlin’s war economy has now emerged in the form of a massive revision to Russia’s 2025 federal budget: the deficit is expected to more than triple. Originally projected at 1.17 trillion rubles (roughly $13 billion), it will now reach 3.8 trillion rubles ($42.2 billion), according to documents obtained by Bloomberg and Ukrainian officials. That’s 1.7% of Russia’s GDP — up from just 0.5% in the previous forecast.

Russia’s 2025 Budget Deficit Triples as Sanctions and Oil Prices Bite Read Post »

Kremlin Drains the Last of the National Welfare Fund to Bail Out the Banks
Crisis in Russia, Economy & Business

Kremlin Drains the Last of the National Welfare Fund to Bail Out the Banks

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The Russian government has begun offloading what remains of the country’s National Welfare Fund (NWF) to prop up its sanctioned financial sector, confirming this week that Sovcombank received a subordinated deposit of 29.6 billion rubles. The funds are part of a broader government scheme allocating 300 billion rubles from the NWF to four of Russia’s largest banks under the guise of financing the Moscow–St. Petersburg high-speed rail project.

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Russian Rail Shipping Hits 16-Year Low as Exports, Industries Collapse
Crisis in Russia, Economy & Business

Russian Rail Shipping Hits 16-Year Low as Exports, Industries Collapse

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Russia’s economy is derailing—literally. In May 2025, the country’s rail freight volumes have plummeted to levels not seen since 2009, a sign of profound weakness in its industrial core. The state-owned monopoly Russian Railways (RZD) has reported a 9% year-on-year decline in overall rail loading volumes so far in May, while container rail shipments—one of the most valuable segments—have dropped by over 10%, according to Sergey Shishkarev, chairman of the Delo Group. The statistics are stark.

Russian Rail Shipping Hits 16-Year Low as Exports, Industries Collapse Read Post »

Trump Aministration again moves to protect Putin, blocking G7 from lowering oil price cap
World News

Trump Aministration again moves to protect Putin, blocking G7 from lowering oil price cap

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After 3 days of non-stop Russian missile barrages on Ukraine, the Trump administration has reportedly blocked a G7 initiative to lower the $60-per-barrel price cap on Russia’s oil exports, according to a Financial Times report. The proposal, initially discussed during last week’s G7 finance ministers’ meeting, aimed to tighten restrictions on Russian oil revenues amid ongoing concerns about the effectiveness of existing sanctions.

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One in Four Russian Construction Firms Face Bankruptcy as War Drains Economy
Crisis in Russia, Economy & Business

One in Four Russian Construction Firms Face Bankruptcy as War Drains Economy

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Russia’s once-thriving construction sector is teetering on the edge of collapse. According to a report published this week, 25% of all Russian construction companies are now at risk of bankruptcy, revealing the stark consequences of President Putin’s choice to wage total war over economic stability.

One in Four Russian Construction Firms Face Bankruptcy as War Drains Economy Read Post »

Russia’s Coal Industry in Crisis: Prime Minister Convenes Emergency Meeting as Exports and Revenues Collapse
Crisis in Russia, Economy & Business

Russia’s Coal Industry in Crisis: Prime Minister Convenes Emergency Meeting as Exports and Revenues Collapse

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Today, Russian Prime Minister Mikhail Mishustin announced an emergency meeting to address the ongoing collapse in the country’s coal sector. Speaking alongside Oleg Belozerov, head of Russian Railways (RZD), Mishustin acknowledged the industry’s severe difficulties, citing “unfavorable market conditions”, logistical bottlenecks and collapsing global coal prices that threaten the survival of coal enterprises across Russia.

Russia’s Coal Industry in Crisis: Prime Minister Convenes Emergency Meeting as Exports and Revenues Collapse Read Post »

Russia’s Oil Giant Reports Devastating Losses as Economic Pressure Mounts
Economy & Business

Russia’s Oil Giant Reports Devastating Losses as Economic Pressure Mounts

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Gazprom Neft, one of the flagship entities of Russia’s oil industry, reported a staggering net loss of 21.3 billion rubles in the first quarter of 2025 under Russian Accounting Standards (RSBU), a dramatic reversal from the 36.9 billion ruble profit it posted during the same period in 2024. The figures, disclosed in the company’s latest financial report, signal a growing crisis in the Kremlin’s fossil fuel sector amid rising costs, waning revenues, and global isolation.

Russia’s Oil Giant Reports Devastating Losses as Economic Pressure Mounts Read Post »

Catastrophic losses continue to hit Russia’s Industrial sector, with profit down -107% at Novolipetsk
Crisis in Russia, Economy & Business

Catastrophic losses continue to hit Russia’s Industrial sector, with profit down -107% at Novolipetsk

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One of Russia’s largest steel producers, Novolipetsk Steel (NLMK), has reported a net loss of over 1.2 billion rubles in the first quarter of 2025— marking a dramatic downturn of more than -107% compared to the 17.2 billion ruble profit recorded during the same period last year. The reversal underscores the growing distress gripping Russia’s industrial economy amid sanctions, shrinking demand, and structural decline.

Catastrophic losses continue to hit Russia’s Industrial sector, with profit down -107% at Novolipetsk Read Post »

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