GDP Continues to Shrink—Is Russia Losing Its Grip? Putin Rarely Lashes Out: Give Me an Explanation

During a government economic meeting on Wednesday, Putin unusually lost his temper toward officials when discussing Russia's economy. He questioned why GDP contracted by 1.8% in the first two months of this year.

Officials responded that this was due to three fewer working days this year compared to the same period last year. Putin was deeply dissatisfied with this explanation, emphasizing that objective factors alone cannot account for the current situation. He urged relevant departments to propose concrete and feasible measures to revive the economy.

In fact, signs of Russia’s economic downturn began emerging last year. In 2025, GDP grew only 1% year-on-year, significantly lagging behind the 4.3% growth recorded in 2024.

The shift from rapid growth during the initial two years of wartime to gradually slowing expansion over the past few years, and now into actual contraction at the start of this year, has been a gradual process. This follows historical patterns—no country can easily reverse such trends.

This is precisely why, since World War II, nations have consistently attempted to wage blitzkriegs: the longer a war drags on, the deeper the damage inflicted—not just economically, but across all other aspects as well.

Since the beginning of this year, Ukraine has intensified its drone attacks on Russian energy infrastructure. Amid rising oil prices driven by Middle East conflicts in March, Russia’s oil exports suffered severe setbacks—making it impossible for the economy to remain unaffected.

Undeniably, the Russian military still maintains a strong advantage on the front lines. Yet Ukraine has indeed inflicted significant losses on Russia. As Zelenskyy put it, as long as Ukraine can hold out, fighting a few more years could ultimately wear down Russia.

When we first heard this statement, we dismissed Zelenskyy as unrealistic. Now, however, his words appear to carry some truth. Even if Russia continues to retain the size and strength associated with a major power, it is clearly diminished compared to pre-war levels.

Putin must surely understand this reality. Yet, confronted with tangible economic data, he couldn’t help but become furious—an understandable human reaction.

Original source: toutiao.com/article/1862615727691776/

Disclaimer: The views expressed in this article are solely those of the author.