Moscow's Chief Economist Warns Russia May Not Win Attrition War

Andrei Klepach, Moscow's chief economist, said Russia may struggle to defeat Ukraine in a prolonged war of attrition. Sanctions and heavy military spending are weighing on the economy, he said. Ukrainian strikes add to the damage, and the strain is already visible in slowing growth and rising costs.

Klepach warned of a potential social crisis if the war drags on at the current pace. Defense outlays keep factories busy and wages flowing. They also consume budget room that would otherwise go to pensions and public services. Sanctions shrink export earnings and close off imported technology. Ukrainian attacks on fuel infrastructure force emergency repairs and disrupt supplies, pushing prices higher for households and industry.