Cash Is King in Wartime Russia: A Telling Indictment of Putin's Economic Policies The resurgence of cash as a preferred medium of exchange in Russia signals significant economic woes and the government's failed efforts to stimulate growth.
The return of cash, which had declined in recent years, is particularly damning for Vladimir Putin's economic policies, including his decision to hike value added tax (VAT) and lower the threshold for small businesses to pay it.
Russia has seen a massive increase in cash circulation since the start of the year, with 1. 56 trillion roubles added to circulation – the largest increase outside of the Covid 19 pandemic.