According to the Institute for the Study of War and various economic oversight organizations, Russia's economy is experiencing significant pressure due to ongoing military expenses and global sanctions. Despite this, Vladimir Putin is disregarding the advice of his economic team and continues to avoid reducing defense expenditures. Currently, defense costs account for roughly 40 percent of the national budget. The prolonged drone operations from Ukraine have resulted in the loss of around ten percent of Russia's refining capability. The ISW verifies that Putin is pushing back against calls to reduce his military activities, even with warnings that the economy can't support such spending indefinitely. Analysts from the West caution that Russia might encounter a financial crisis in the next twelve to twenty-four months.
