The IMF estimates Russia's economy will grow faster than the likes of the US, UK and Germany this year.

An influential global body has forecast Russia’s economy will grow faster than all of the world’s advanced economies, including the US, this year.

The International Monetary Fund (IMF) expects Russia to grow 3.2% this year, significantly more than the UK, France and Germany.

Oil exports have “held steady” and government spending has “remained high” contributing to growth, the IMF said.

Overall, it said the world economy had been “remarkably resilient”

“Despite many gloomy predictions, the world avoided a recession, the banking system proved largely resilient, and major emerging market economies did not suffer sudden stops,” the IMF said.

  • Linkerbaan@lemmy.worldEnglish
    46·
    8 months ago

    Russia is keeping the economy going by burning money on the war.

    The only way one can make money from a war is by selling weapons to others and not fighting it yourself. How can making explosives and throwing them away produce anything of value for their own economy?

    • Buffalox@lemmy.worldEnglish
      11·
      8 months ago

      The only way one can make money from a war is by selling weapons

      Increasing the economy does not mean they make money, in this case it’s rather that they spend money.
      When the government pump money into weapons production and other military spending, that increases the economy immediately, then people get paid and buy other stuff.
      In general government spending increases the economy.

      • Linkerbaan@lemmy.worldEnglish
        44·
        8 months ago

        But that money has to come from somewhere. Money printer go brrrr means massive inflation

        • fine_sandy_bottom@discuss.tchncs.deEnglish
          33·
          8 months ago

          That’s pretty old school thinking.

          As though your village only has so many carrots so giving everyone twice as much money means carrots will cost twice as much.

          These days the thinking is, if everyone has a little money then more people will grow more carrots to sell.

          The extra money floating around motivates people to produce value in order to win some of that cheddar.

          Of course, this only works up to a point.

          • Linkerbaan@lemmy.worldEnglish
            33·
            8 months ago

            Of course, this only works up to a point.

            Ah yes I recognize this economic model.