Russia's economy in the crisis: over 200 shopping centers before bankruptcy!

Russia's economy in the crisis: over 200 shopping centers before bankruptcy!

Russland - Russia's economy was under considerable pressure at the beginning of 2025. Inflation is currently 9.3 percent, which presents President Vladimir Putin with great challenges. In order to counteract this high inflation, the Russian central bank has raised the key interest rate to 21 percent, but this also drives up the financing costs for companies. These high interest rates lead to an increase in loss of payment in the economy: in the period from July to September, large and medium -sized companies recorded 19 percent, while for small companies this value was even 25 percent.

igor Setschin, the CEO of Rosneft, criticized the central bank's financial policy. The problems are not only due to inflation and high interest rates. Over 200 shopping centers in Russia are faced with bankruptcy due to the increased financing costs, and it is estimated that a quarter of all shopping centers could close in 2025.

effects on the armaments industry

Especially affected by the economic difficulties are suppliers in the armaments industry, which have to deal with both defaults on payment and increasing financing costs. The western sanctions have also restricted access to important components for armaments production. An acute lack of personnel also burdens the industry. As reported on swp-berlin.org , the growth in the sector of "other transport systems and equipment" in 2023 will fall to only 5 percent in 2024.

The warnings of massive company slides in the armaments industry are piling up among the experts. Sergei Tschemesow has indicated that Russia could be forced to restrict his arms exports, while defense spending by 2025 is likely to be up to the highest level since the Cold War. The State Duma already adopted a household on November 21, 2024, according to which Russia's military spending should be around 13.5 trillion rubles (approx. 130 billion euros).

Despite all the economic challenges, the demand for military expenses remains high. However, these expenses also burden non -military areas, such as healthcare. The production capacities in the armaments industry grow slower due to systematic problems, while Russia in the meantime imports weapons from Iran and North Korea because its own production is not sufficient.

-transmitted by West-Ost-Medien