'Russia's economy is in trouble': Ukrainian official on Moscow's funding cuts in occupied territories

Petro Andriushchenko, the head of the Center for the Study of Occupation, said this on Espreso TV.

“We analyzed the budgets of occupied Mariupol and the Zaporizhzhia region over the past six months and compared them with last year. Since these territories have no own revenues and depend on subsidies from the Russian budget, we are seeing a significant reduction in funding across all sectors,” Andriushchenko noted.

According to the head of the Center for the Study of Occupation, the situation with salary payments to public sector employees in the occupied territories is particularly difficult, with delays observed for several months. The only areas receiving active funding are those tied to ideological influence - education, culture, and sports - where Russia invests in an attempt to erase Ukrainian identity.

“Let’s be honest: Russia’s economy is in bad shape. There’s simply no money to further fund the occupied territories. Only projects important to Russia itself receive financing. Everything else is not a priority and remains underfunded. In the coming months, this trend will only intensify,” Andriushchenko stressed.

• The Russian government acknowledged an almost complete halt in economic growth.