Russia’s economy contracted by 0.2 percent in the first quarter of 2026, marking its first quarterly decline in three years as the cost of the war in Ukraine and Western sanctions weighed on growth.
President Vladimir Putin addressed the figures Friday at the St Petersburg International Economic Forum, rejecting criticism that the economy had collapsed. He said Russia had descended to growth levels similar to those seen in eurozone countries in recent years.
The contraction comes as the Kremlin’s military campaign has strained public finances, with rising prices, tax increases and elevated borrowing costs affecting households.
Putin declined a request from Ukrainian President Volodymyr Zelenskyy for direct peace talks on the same day, saying he saw no point in a meeting at this stage.
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Sources:
https://www.aljazeera.com/news/2026/6/5/russias-putin-says-no-point-meeting-ukraines-zelenskyy-for-now