Zero Growth: Ruble Devaluation Inevitable, Economist Claims

Russia's economic model is structured to maintain high inflation due to a chronic imbalance between the volume of goods and the money supply, according to Valentin Katasonov, Doctor of Economic Sciences and Chairman of the Russian Economic Society named after S.F. Sharapov. In a conversation with Pravda.Ru, Katasonov questioned the realism of official forecasts predicting a slowdown in price growth. This follows statements from Anatoly Aksakov, Chairman of the State Duma Committee on the Financial Market, who told TASS that inflation is expected to return to the 4% target by 2027, citing the stabilization of macroeconomic indicators. Katasonov argues that these optimistic government projections ignore structural issues. He notes that the economy is currently characterized by stagnation—citing Rosstat data showing zero economic growth for the first half of the year—while the volume of money in circulation continues to rise.