UK denies Russia’s economic reports, says inflation is rising twice as fast as expected due to war

Jul 31. () –

British authorities have denied the economic statements defended by the Kremlin and have assured that inflation in Russia is growing at twice the forecasts set by the Central Bank for 2024 due to the “enormous expenditure on the war” started by President Vladimir Putin against Ukraine.

“Russia claims that inflation is stable and economic growth is strong. The reality is that massive spending on Putin’s illegal war in Ukraine is driving up inflation and creating unsustainable growth,” the British Ministry of Defence said in its latest intelligence report.

In this regard, London has pointed out that “the war with Ukraine is overheating the Russian economy,” which saw inflation rise by 8.3 percent year-on-year last May, “double the Central Bank’s forecast for 2024.”

In this context, high inflation is driving up interest rates and making Russia “a bad place to invest.” “Russia is taking money from its national wealth fund to finance rising war costs,” the Ministry of Defense has said, thus reiterating a position it has been defending for months.