Since Vladimir Putin launched the invasion in February 2022, emigration out of Russia has exploded, with some estimates putting the exodus at 1 million people. A recent analysis from the policy platform Re: Russia narrowed the number to 817,000-922,000.
That’s contributed to a record labor shortage, with 42% of industrial firms unable to find enough workers in July, up from 35% in April.
The composition of Russia’s exodus also points to the best and brightest fleeing the country. While a barrage of Western sanctions incentivized many to leave for economic reasons, others fled to avoid military service, skewing the numbers toward younger Russians.
Workers under the age of 35 now account for less than 30% of the labor force, the lowest on record going back 20 years.
More: “In fact, the Atlantic Council estimated that Russia’s GDP, as measured by purchasing power parity (PPP), will fall behind Indonesia’s in 2026, nearly two years earlier than would’ve been the case had Putin not launched his war on Ukraine. By then, they will switch places as the world’s sixth and seventh largest economies by PPP.”
“Banana republic with nukes” has never been more appropriate than right now.