Sweden's finance minister, Elisabeth Svantesson, is raising serious doubts about the true state of Russia's economy, suggesting that official reports significantly downplay the severity of inflation. During a recent panel at the World Economic Forum in Davos, Svantesson pointed out that satellite images of Moscow in 2023 appear notably darker than in 2021, signalling a sharp decline in economic activity.
This dimming of the Russian capital, visible in night-time photos, suggests that the country may be facing even worse economic distress than President Vladimir Putin has acknowledged. Svantesson also criticised Russia's official inflation rate of 9.5%, pointing out that it contradicts the country's central bank's high interest rates and the significant outflow of capital. With prices soaring, ordinary Russians are feeling the pinch, as basic goods become increasingly unaffordable, and economic hardship spreads across the nation.
As sanctions continue to take their toll, the true economic picture of Russia remains unclear, with Svantesson stating that the Kremlin's portrayal of a resilient economy is likely a façade designed to mislead both Ukraine and its allies. Could these satellite images be the clearest sign yet that Russia's economy is in deeper trouble than people have been led to believe?