Bloomberg Surveillance · Tuesday, August 4, 2026
Russia's economy is significantly impacted by the ongoing war, with high casualty rates and a substantial emigration of skilled professionals. The conflict has also exposed the vulnerabilities of Russia's military to advanced drone warfare, a tactic successfully employed by Ukraine. This situation is creating a demographic and economic challenge for Russia's future.
“We don't know what shape Puttin is in. His leadership is stable until it is for agile and falls apart. These regimes are very brittle. Now we know that there are a lot of unhappy people around him. Some of them are voicing their concerns. Russian public, responding to various polls, is calling for the end of hostilities. Putting In public says things are fine and winning, let's continue.”
“I think twenty tinety six has made a whole lot of difference previously, As you rightly said, they were casualties. Probably we are talking about killed and wounded in the range of one point three to one point four to one point five million people, which is a huge number, right. But what put In did before, he would recruit those soldiers from the poorest parts of Russia, trying to project normality, normalcy of life in big cities and in Moscows and Petersburg most importantly. But that is changing right now.”
“In addition to this one point four to one point five killed and wounded, you have about a million Russians have left. And these are probably the best skilled, the most competent Russians, the most motivated and entrepreneurial Russians. So Russia has been hit very, very difficult blow in terms of its future. So there is a huge demographic challenge.”
“Every military commander around the world now is watching this war because it is changing the whole counculus of how we think buzz wars.”