DECRYPTION – The president of the Russian Central Bank is concerned about the limits of production capacities. The Kremlin’s propaganda struggles to mask the deterioration of the economic situation.
As Vladimir Putin continues to promote the image of an invulnerable state that would have thwarted international sanctions, facts contradicting this narrative are accumulating. Although Russia is certainly not yet « on the ground » as the Western supporters of an economic war wish, the clouds are accumulating over the prosperity displayed by the Kremlin.
Inflation is now difficult to ignore, even for Russian media subject to strict censorship. Last week, the daily Kommersant pointed to an increase of 30% in the price of butter and 65% for potatoes compared to last year. Also emblematic, the price of taxi journeys has exploded. The reasons? A lack of staff, extended delays in repairing vehicles and stricter regulations, reports a journalist who clearly cannot blame « special military operation ».
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