Russian President Vladimir Putin has recently approved a record-breaking defense budget, allocating a staggering third of the government's total spending to national defense. The budget for 2025, published on Sunday, sets aside approximately $126 billion (13.5 trillion rubles), representing 32.5% of government spending. This budget surpasses the previous record by about $28 billion (three trillion rubles).
The ongoing conflict in Ukraine, which is considered the biggest conflict in Europe since World War II, has been a significant factor in the increased defense spending. The war has been characterized as a war of attrition, with both sides experiencing resource drain.
While Russia has seen gains in key areas along the front lines, the strain on its economy and population is becoming more apparent. The country has significantly increased its military spending over the past two years, leading to signs of economic overheating, such as high inflation and labor shortages.
On the other hand, Ukraine, despite being on the back foot in terms of resources, has received substantial military assistance from its Western allies. Germany, for instance, has pledged over half a billion dollars in new military equipment to Ukraine. German Chancellor Olaf Scholz recently visited Kyiv and announced additional military aid, including the delivery of air defense systems next year.
Meanwhile, concerns remain about the future aid that Ukraine will receive from the United States once President-elect Donald Trump assumes office. The dynamics of the conflict continue to evolve, with North Korean troops reportedly joining Russia in the fighting in Ukraine, using North Korean weaponry in some instances.
As the conflict persists, both Russia and Ukraine are grappling with the challenges posed by the ongoing war. The decisions made in terms of defense spending and military assistance will play a crucial role in shaping the outcomes of this protracted conflict.
