Vladimir Putin assured the business community at a conference of Russian Union of Industrialists and Entrepreneurs that the economy is doing well
He claimed that the economy has taken on a fundamentally different quality, Russia managed to compensate for the closure of western markets, and positive trends are gaining strength with high crop yields as evidence.
His optimistic statements are a striking contrast to the assessments of independent expert. The main source of income for the federal budget from oil and gas export is rapidly shrinking after EU embargos and imposed price ceilings on sales to third countries. Machinery production decreased twofold in 2022. The state budget deficit is being covered by the National Welfare Fund which dropped by 8 billion dollars in February 2023 alone.