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Russia's wartime economy faces long-term erosion from debt and military spending

Budget data showed a 2.8% deficit by the end of July as Russia raised taxes and borrowed at high rates to fund war spending.

FRANKFURT, Germany (AP) — The frictions in Russia’s wartime economy are growing, as massive military spending balloons the budget deficit. Consumers and businesses are gloomier. Growth has slowed.

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  • 75% of the sources lean Left
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The Independent broke the news in London, United Kingdom on Friday, September 18, 2026.
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