Russia faces a crisis whether it continues the war or not, economist Alexander Mertens says.
War spending has been a major boost to Moscow's GDP growth and wealth, and ending the war will be tricky.
If Russia continues the war, the economy looks on track for a "severe recession" and long-running stagnation, Mertens said.
"The current state of the Russian economy is far from critical but it does present Putin with a dilemma.
The Russian economy is not yet close to collapse, but it is increasingly dependent on wartime conditions and faces growing risks of overheating."
Persons:
Alexander Mertens, —, Vladimir Putin, Mertens, Merten, Putin, That's
Organizations:
Service, Kyiv's International Institute of Business, Ukraine, Atlantic Council, Russian National Welfare Fund, Kremlin, International Monetary Fund
Locations:
Russia, Ukrainian, Ukraine