"Gets worse": Putin faced another big problem - wsj

According to journalists, prices in Russia do not rise quickly enough to cause economic crisis or social excitement. But they are a sign of growing imbalance in the economy. While Russia is wringing a war in Ukraine, the battle with inflation is also underway inside the country. About it writes Wall Street Journal. The material states that last year the Central Bank of the Russian Federation more than doubled interest rates to contain prices.

Inflation, however, continued to grow, exceeding 9% of this month, with a wide range of goods and services. It is reported that inflation has become a difficult feature of the Russian military economy. Although the rise in prices has slowed in many developed countries, the situation in the Russian Federation is getting worse. According to journalists, the growth of military expenditures and a record shortage of labor, they have increased the rise in prices.

Meanwhile, new rounds of US sanctions have complicated international payments, increasing the costs for importers. The publication writes that prices do not rise rapidly to cause economic crisis or social riots. But they are a sign of growing imbalance in the economy. Stubborn inflation also means that the war becomes more costly, which then leads to even higher military expenditures.

"In the fight against inflation, the Russian authorities have no good options - they cannot stop the war, cannot solve the problem of labor, cannot stop raising wages to the population," - said Alexander Prokopenko, former employee of the Russian Central Bank, now a researcher Carnegie in Russia. According to her, while the war is ongoing, inflation will remain high. Earlier it was reported that anti -Russian sanctions "struck" on the project of Indian Tejas.

Indian manufacturers faced delays in the supply chains of the right components. The fact is that Russia is one of the largest manufacturers of titanium and nickel - critical resources for the aerospace industry. Also we will remind that Europe agreed on sanctions against the "shadow fleet" of the Russian Federation. The European countries have approved the London Plan for Sanctions for Fleet from hundreds of ships transporting Russian oil.