“Everything is fine, I’m falling”: will a printing press save the Russian economy from collapse?

Kremlin dictator Vladimir Putin has no plans to stop the aggressive war, despite the difficult economic situation. At the same time, Russians are actively using the printing press and emptying the reserves of the National Welfare Fund, but these resources will not last long.

This opinion was expressed on the air of “Pryamoy” by investment banker Serhiy Fursa.

“At a certain level, Putin will have the money to wage war, but at a certain level. Does he have a lot of resources? No, he doesn’t. Is his resource base shrinking along with the decline of the Russian economy? Yes. Has the decline of the Russian economy begun? Yes, it has already begun. They themselves admitted that in the first quarter, Russia’s GDP decreased by 0.5%. And this is what they admitted. De facto the situation may be worse, but they are hiding a lot of statistics. But they are unable to stop this crisis in the economy,” Fursa noted.

According to him, the Russians are actively using the printing press, accelerating the issuance of domestic debt, while simultaneously emptying the reserves of the National Welfare Fund.

“The key for us is whether they have the money to finance the war. Because war is very expensive. Ukraine can finance the war solely through Western support. Russia does not have such support. Even when there are some Koreans or something else, it is paid for in Russian dollars or yuan. Now they are financing it from the National Welfare Fund and the printing press. They are already forced to launch it, and this year they are using it very actively. We see how they are accelerating the issuance of domestic debt,” the investment banker explains.

At the same time, he believes that this peculiar “nightstand”, that is, the National Welfare Fund, should end at the beginning of next year.

“And after that, the most interesting thing will begin. Because when you use exclusively a printing press, you have a lot of unpleasant things happening in the economy, such as hyperinflation. Therefore, when we say how much longer Putin can wage war in the current regime, it is most likely another six months. Then he will either have to cut spending or turn a blind eye to very negative things in the Russian economy. Because inflation will accelerate and so on. The printing press is a very problematic story. This is a money issue, and it went away,” Fursa emphasized.

Recall that after the NATO summit in The Hague, Russian dictator Vladimir Putin lashed out at the Alliance and once again stated that Moscow had been deceived by breaking its promise not to expand NATO to the East. He also assured that Russia wants to end the war in Ukraine with “the desired result,” so Russian defense spending, which currently amounts to 13.5 trillion rubles, is aimed precisely at this. At the same time, Putin said that the West is trying to bury Russia’s economy, but believes that “they will soon die, and they are burying us.”

As reported by “Pryamiy”, on June 20, Kremlin dictator Vladimir Putin made a series of cynical statements regarding the course of the war with Ukraine. He made it clear that he planned to seize all of Ukraine , because he considers it “ours”, that is, “Russian”. Putin also cynically said that the Russian Federation has an “old rule: wherever a Russian soldier steps, it is ours”.

At the same time, according to political scientist Vadim Denysenko, with his threats to NATO, Kremlin dictator Vladimir Putin once again demonstrated that he is not going to stop the war against Ukraine, but we should not talk about decades, but about the prospects of the coming years, because the Russian economy can no longer withstand such a load .

Meanwhile, Russia is experiencing an acute shortage of labor in many sectors of the economy. “This problem is observed in industry, agriculture, energy, etc. But construction suffers the most from the shortage of personnel. According to Russian experts, in 5-7 years there will simply be no one to build in the Russian Federation,” the Center for Countering Disinformation at the National Security and Defense Council of Ukraine reported.

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