Russia economy meltdown as GDP growth shrinks 186% in blow to Vladimir Putin

's GDP is set to take a staggering hit in 2025 compared to other nations as the country continues to wrestle with a growing economic crisis. New forecasts by the indicate sluggish economic growth worldwide amid trade tensions and policy uncertainty, noting 's tariffs could have global impacts.

Major economies across the world are set for a slower GDP increase this year but seems to be particularly affected. The predicts Moscow's GDP will grow by 1.5% in 2025, down from its estimated increase of 4.3% in 2024 - a decrease of 186% or 2.8 percentage points. Kyrylo Shevchenko, former chief of the National Bank of , said this is due to "labour shortages and sanctions".

Businesses and consumers across - which has been slapped with heavy Western sanctions following the war in Ukraine - have been left reeling under the effects of spiralling inflation and high interest rates.

Experts have also said decreasing oil prices have been having an impact on the Russian economy, while Moscow's cheap oil supply is also reportedly running low.

Estimates by 's official statistics agency last week - three times less than the final quarter of 2024 (4.5%).

is continuing to pour huge amounts of money into its .

The is forecasting global economic growth of 2.4% this year and 2.5% next year - a drop of 0.4 percentage point each year from projections made in January. The global economy grew by an estimated 2.9% in 2024.

The economy is also projected to fall significantly, from 2.8% last year to 1.6% this year, according to the .

's growth is expected to drop to 4.6% from 5% in 2024.

The is forecast to slow from 1.1% to 0.9%, however the British economy did .

Mr Shevchenko added: "Trade tensions, inflation, and rising debt are squeezing economies, especially export-dependent ones. Ukraine's GDP may grow just 2% in 2025. Full recovery depends on security, global aid, and lasting ceasefire."

's economic forecasts were not mentioned in the report.