Russia begins talks of ending the war to save the economy – Reuters
Kyiv • UNN
Russia's economy has slowed to 1% due to sanctions and attacks on oil refineries. Russian business and politicians are openly declaring the need to end the war.
The Russian economy is increasingly feeling the consequences of the war against Ukraine, and representatives of big business and financial circles are already openly talking about the need to end hostilities to restore economic growth. This is reported by Reuters on the eve of the St. Petersburg International Economic Forum, according to UNN.
According to the agency, Russian President Vladimir Putin will hold his fifth "wartime" economic forum in St. Petersburg against the backdrop of a deteriorating economic situation and the lack of a clear strategy for the country's further development.
Deterioration of the economic situation
The Russian economy, whose volume is estimated at approximately $3 trillion, slowed its growth to about 1% in 2025 after 4.9% a year earlier. In the first quarter of 2026, the Russian economy already contracted by 0.2%.
The Russian government attributes the problems to high interest rates, Western sanctions, and the strengthening of the ruble. At the same time, Reuters notes that Ukrainian drone strikes on Russian territory also have a significant impact.
In particular, attacks on oil refineries, ports, and industrial enterprises have disabled a significant part of the economic infrastructure. According to the agency's estimates, approximately a quarter of Russian oil refining capacity has been affected, creating risks of fuel shortages.
Business wants an end to the war
"Business believes that the best way to restore economic growth is to end the war in Ukraine," Reuters quotes one of the Russian top managers.
The agency's interlocutor noted that the Russian stock market's reaction to any positive news regarding peace negotiations demonstrates the real expectations of business.
At the same time, the negotiation process has effectively stalled. The Kremlin stated that peace talks are currently "on pause" as US attention has shifted to the Middle East.
Reuters also writes that potential American investments in the Russian economy and a possible partial easing of sanctions, which were discussed earlier, are also currently frozen.
The authorities have no growth plan
Former Deputy Chairman of the Central Bank of the Russian Federation Oleg Vyugin told the agency that the Russian authorities effectively have no effective mechanisms to restore economic growth.
"The government essentially has nothing to offer to restore growth," he said.
The article emphasizes that most of the factors that ensured Russia's economic growth during Putin's rule no longer work or have exhausted their potential. This refers to foreign investment, cheap loans, high energy revenues, and import substitution.
Even the State Duma acknowledges the problem
At the same time, even representatives of the Russian political establishment have begun to publicly acknowledge the threat to the economy due to the protracted war.
State Duma deputy Renat Suleymanov told Reuters that the economy will not withstand a long continuation of the so-called "special military operation."
"What kind of development, investment, or capital expenditures can we talk about? Tanks and shells have no consumer value," he said.
Analysts also note that Russia does not have sufficient internal resources for sustainable economic growth without an external impulse, in particular the easing of sanctions and the end of the war.