Putin's Economic Challenges and Re-election Plans Shape Russia's Political Landscape

As President Vladimir Putin prepares for re-election, Russia's economy is experiencing a recovery in growth, aided by the evasion of Western oil price caps. Despite challenges such as labour shortages, inflation, and high interest rates, Russia's export-focused economy has fared better than expected under sanctions. However, the country faces a shortage of skilled workers and needs to address issues like weak currency, high inflation, and interest rates. The central bank is expected to hike rates further to control inflation. While the economy is rebounding, supply-side constraints may limit growth, and there are concerns about overheating and rising inflation ahead of the election.