{"id":27193,"date":"2025-04-17T09:46:15","date_gmt":"2025-04-17T09:46:15","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/27193\/"},"modified":"2025-04-17T09:46:15","modified_gmt":"2025-04-17T09:46:15","slug":"russia-economy-meltdown-as-2-issues-threaten-total-market-crash-world-news","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/27193\/","title":{"rendered":"Russia economy meltdown as 2 issues threaten total market crash | World | News"},"content":{"rendered":"

Russia is currently battling two major blows to its economy as it continues to funnel staggering amounts of money into its war machine. The annual inflation rate<\/a> in the country hovers at just above 10%, recording a two-year high of 10.1% in February, though the Central Bank (CBR) projected an average annual inflation rate of 7-8% for this year.<\/p>\n

This comes as the Ministry of Defence (MoD) issued a statement warning that Moscow may not be able to fund its war effort for much longer due to “inflationary pressure”. It said: “Labour shortages, alongside high levels of government spending<\/a>, almost certainly mean inflation will remain above the CBR’s target. Long-term inflationary pressure will highly likely exacerbate pressures on Russia<\/a>\u2019s ability to sustain high defence spending.”<\/p>\n

Compounding this is the tanking oil prices following Donald Trump<\/a>‘s widespread “Liberation Day” tariffs that he said would make trade conditions better for the US.<\/p>\n

Despite Russia<\/a> not receiving any levies, the tariff policy caused a slump in oil prices for the country that relies on the resource for roughly half of its export income.<\/p>\n

International oil benchmarks dropped by roughly $10 a barrel in just a few days at the beginning of April, while the price of Russian Urals crude oil went close to $50 per barrel for the first time in nearly two years.<\/p>\n

Elvira Nabiullina, the governor of the CBR, warned of the looming consequences Russian energy resources face.<\/a><\/p>\n

She said: “If such tariff wars, and we are seeing an escalation of tariff wars, continue, it usually leads to a decline in global trade, the global economy, and possibly even the demand for our energy resources.<\/p>\n

“There are risks here, but we need to watch how the situation unfolds.”<\/p>\n

Kremline spokesperson Dmitry Peskov said Moscow was keeping a close eye on the situation as Mr Trump’s tariffs<\/a> create a ripple effect across global economies.<\/p>\n

He said: “We are monitoring closely the situation, which is currently extremely turbulent, tense and emotionally charged.”<\/p>\n","protected":false},"excerpt":{"rendered":"Russia is currently battling two major blows to its economy as it continues to funnel staggering amounts of…\n","protected":false},"author":2,"featured_media":27194,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3090],"tags":[51,2614,1700,476,2661,2662,332,16490,16493,16491,16492,16,15],"class_list":{"0":"post-27193","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-donald-trump-tariffs","10":"tag-economy","11":"tag-inflation","12":"tag-oil","13":"tag-oil-prices","14":"tag-russia","15":"tag-russia-economy","16":"tag-russia-economy-meltdown","17":"tag-russia-inflation","18":"tag-russia-oil-prices","19":"tag-uk","20":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114352671054835966","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/27193","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=27193"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/27193\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/27194"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=27193"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=27193"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=27193"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}