Russian President Vladimir Putin delivered a speech at the St. Petersburg International Economic Forum, where he discussed the growth of the Russian economy. He stated that the economy is growing by around 5% based on the increase in gross domestic product (GDP) over the first half of the year, according to the Interfax news agency.
Despite Western sanctions, the Russian economy has shown resilience and continued to grow. The Rosstat statistical office reported that GDP rose by 5.4% in the first quarter. This growth has been fueled by increased state expenditure on armaments and the military, as well as higher salaries and payments to the families of the fallen and injured.
As a result of the economic growth, there has been a rise in labor shortages which is leading to increased pay for workers. Some analysts have raised concerns about whether this trend is sustainable in the long term, questioning the future trajectory of the Russian economy.