Russia’s economy is under growing strain as its invasion of Ukraine drags on and Western sanctions are undermining President Vladimir Putin’s ability to sustain his war, a leading European economist said after briefing finance ministers on Tuesday.

Russia has spent most of its National Wealth Fund in the past few years, with liquid funds potentially being depleted in 2025, one economist says.

As the full-scale war in Ukraine rages on for its fourth year, and Moscow’s defense and security spending continues at levels not seen since the Soviet era, Russia's economy has started to cool from its peak of 4.