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However, this seemingly robust economic state belies a much graver situation. Many citizens remain unaware of the severity of the underlying problems, perpetuated by a state-controlled narrative that masks the imminent crisis.
Putin's War Chest and Economic Strategy
To grasp Russia's current predicament, we must consider Vladimir Putin's strategic planning prior to the Ukraine invasion. In response to the sanctions imposed after Russia's 2014 annexation of Crimea, he fortified the nation’s finances, amassing a $640 billion war chest—over a third of Russia’s GDP. This preparation aimed to weather potential sanctions and extend the operational capacity of the military during conflicts.