The banking system and economy in Russia are beginning to face a liquidity crisis. Depositors have already withdrawn more money from their accounts than they did in 2022, when the panic caused by the war initiated by Vladimir Putin swept the country. Meanwhile, major companies, fearing seizures amid economic instability and Ukrainian attacks, are transferring their assets abroad.
The budget deficit in July reached 6.46 trillion rubles, compared to a forecast for the entire year of 3.8 trillion rubles. Major companies are increasingly fearful that their funds will be confiscated to finance the war.
“If the Government needs money, Putin will simply confiscate assets. He doesn’t care. I think that’s exactly where things are headed. This is not a place where you want to do business. If you have the opportunity to withdraw money, you do it,” a Russian billionaire’s associate told The Washington Post.
A high-ranking official in the financial field told journalists that “there is a feeling that political power is becoming less stable and that it is better not to be here during this period”.
Companies from Russia are opening accounts in Kazakhstan, Armenia, or Kyrgyzstan to withdraw their assets from the country, writes The Moscow Times. Although from these states resources can be reinvested anywhere in the world, the process is becoming increasingly difficult.
According to the Central Bank of Russia, capital outflows exceeded 9.4 billion dollars in the second quarter of 2026. The amount of cash in circulation from the beginning of the year to mid-August has cumulatively increased by 2.4 trillion rubles.
Sberbank forecasts that by the end of the year, the volume of cash in circulation could increase to 3.8 trillion rubles, setting a historical record for Russia.