Russia's Economy Has Gone Into Systemic Decline
2- 1.11.2025, 13:52
- 4,426
The coal industry is becoming a black hole, Gazprom and Nornickel are making losses.
The Russian economy is now entering a phase when even official statistics is no longer able to hide the scale of problems.
This is reported by Cenzor.NET with reference to the press center of the Foreign Intelligence Service of Ukraine.
The decline in profits of Russian enterprises
The balance of corporate profits for the first eight months of 2025 is said to have fallen by 8.3%, a figure that in the context of the overall dynamics suggests a systemic curtailment of business activity.
The credit market, which should be an indicator of confidence, demonstrates the opposite: the share of problem borrowers among legal entities has reached 23%, and about 165,000 companies are no longer able to service their debts. This is a signal that the corporate sector has lost its financial stability.
The coal industry is a black hole
"The situation in the coal industry, which was recently considered one of the "pillars" of Russian exports, is particularly indicative. The share of unprofitable enterprises here has grown to 67%. The balanced loss for January-August reached 263.2 billion rubles, having increased by 38.2 billion rubles in just one month. Profit has fallen by half, while losses have grown 2.6 times. The industry, which was supposed to bring in foreign currency, is turning into a black hole for the budget," the report said.
According to the NRW, the picture is no better in the services sector.
Russian Post reported a 4.5% drop in revenues from key services and a 9.3% drop in revenues from financial intermediation. Gross profitability declined 2.5 times, while the loss on sales grew 5.7 times to 10.7 billion rubles. The company explained this by "changes in the operating environment," but the dry figures speak for themselves: short-term liabilities exceed current assets by 25.6 billion rubles, five times more than a year ago. This is a classic symptom of a liquidity crisis that can no longer be masked by corporate language.
Nornickel's degradation
Metallurgical giant Nornickel is also showing a trend of degradation: net profit for the nine months fell by 39%, while costs rose by 34% due to higher interest rates. The simultaneous decline in nickel, copper, palladium and platinum production only emphasizes that the company is losing its position in the global market.
Gazprom's losses
Gazprom's result is also symbolic - a net loss of 170.3 billion rubles for the nine months. For the company, which has been the main budget donor for decades, this is not just a financial failure, but a strategic reversal: the resource that was supposed to guarantee stability now needs support itself. "Russian Railways" was also not left out - a loss of 4.2 billion rubles only adds to the picture of general decline.
Conclusions
"All these data add up to a single mosaic: the Russian economy is losing its ability to generate profits even in traditionally strong sectors. The growing debt burden, falling production and loss-making of key corporations indicate that the crisis is not a temporary setback, but is becoming the new normal," the intelligence agency summarized.
Bank's name: Bank Millennium S.A.
Address: ul. Stanislawa Zaryna, 2A, 02-593, Warszawa
IBAN: PL97116022020000000216711123
SWIFT: BIGBPLPW
Name of the account holder: Fundacja “KARTA ‘97”
Purpose/title of payment: Donation for statuary aims
You can contact us by the e-mail [email protected]
