The Kremlin's Hidden Truth: What's Really Happening In The Russian Army

• 24.07.2025, 8:36

The lagging behind the West is intensifying.

Russia is spending record funds on the war against Ukraine, but because of Western sanctions it is losing the opportunity to modernize its army and prepare it for future technologically more complex conflicts. This is reported by Business Insider, citing an analytical report by Mathieu Boulega, a consultant to the Russia and Eurasia program at the Chatham House think tank in London.

He said Russia plans to spend 6.3 percent of GDP on war in 2025, the highest level of military spending since the Cold War. At the same time, due to limited access to critical imported components, there is a technological degradation of the Russian military-industrial complex.

"Russia will probably have to simplify and slow down its military production, accept a decline in product quality and a certain form of 'innovation stagnation' in its research and development," Buleg noted.

The analyst explains that instead of scientific and technological breakthroughs, the Russian military sector is forced to engage in gradual improvement of outdated products However, over time, its ability to compete with the leading military powers will decline.

Another serious problem is economic "fatigue" from high military spending. According to Buleg, at first glance, war produces positive macroeconomic indicators, but subsequently inflation rises, the purchasing power of the population falls and the liquidity crisis in banks worsens. These negative trends are already observed in the Russian economy.