ISW: Putin falsely tries to portray Russian economy as capable of sustaining a protracted war
Kyiv • UNN
Russian dictator Putin is trying to portray the Russian economy as capable of sustaining the war in Ukraine, likely to support cognitive warfare. He claimed GDP growth and low inflation, ignoring the connection between economic problems and the war.
Russian dictator Vladimir Putin is trying to portray the Russian economy as capable of sustaining a protracted war in Ukraine - likely to support ongoing Russian cognitive warfare efforts, falsely claiming that Russian victory is inevitable. This is stated in a material by the Institute for the Study of War (ISW), reported by UNN.
Details
Analysts refer to Putin's statement at the Council for Strategic Development and National Projects, during which he stated that Russia is working to overcome demographic problems and increase birth rates, and highlighted numerous support measures that the Kremlin allegedly offers to families with children.
Putin stated that the birth rate continues to decline, including due to unnamed "external challenges" - likely referring in part to the demographic consequences of Russia's war against Ukraine
Putin also claimed that Russia's GDP growth would be around one percent by the end of 2025, and inflation would be around six percent or lower, with the Russian central bank forecasting inflation of four to five percent in 2026.
Putin stated that Russia can now gradually increase "economic momentum" while maintaining low unemployment and moderate inflation. ... However, the Kremlin's recent economic policies suggest that the Russian economy is in a significantly worse state than Putin tries to imply in his statements
It is indicated that Putin intensified his efforts to portray the Russian economy as resilient and capable of sustaining prolonged hostilities in Ukraine ahead of the US-Russia meeting in Moscow on December 2. According to analysts, Putin is trying to convince the United States that increased sanctions pressure will not have the desired effect on the Russian economy and will not prompt him to make compromises to end the war against Ukraine.
It is also noteworthy that in his speeches on the Russian economy, Putin does not discuss the ongoing war in Ukraine, likely to conceal the connection between Russia's battlefield losses and economic problems. The Kremlin appears to be trying to combine its statements about the Russian economy with the false narrative that Russia's victory on the battlefield is inevitable. Both narratives are aimed at pushing the West and Ukraine to surrender to Russia's demands now out of fear of intensified prolonged Russian military operations in the future
They continue to assess that the West and Ukraine can exploit several key Russian weaknesses on the battlefield and in the economy to compel the Kremlin to negotiate and make real concessions, and that a Russian victory is not inevitable.
Recall
In November, the Russian central bank reported a deterioration in the financial condition of enterprises and an increase in non-performing loans. Companies' net profit decreased by 23% in the first eight months of 2025.