In Russia, the economic fallout continues to mount due to labor shortages, caused in part by the war in Ukraine.

This is stated in a recent report by the Institute for the Study of War (ISW).

American analysts, citing propaganda publications, cited a statement by a consulting company that recorded an increase in labor shortages in domestic production. According to their assumptions, this shortage is likely to grow to two to four million workers by 2030, 90 percent of whom are likely to be low-skilled.

The company also noted that this shortage of supplies will lead to an increase in workers' salaries, which will outpace GDP growth and make Russian companies even less attractive for foreign investment.

Russian economists stressed that this problem can only be solved by improving interaction between business and the state, in particular through special programs for the repatriation of Russians who fled the country because of the war, and programs to attract "highly qualified personnel" - migrants from other countries.

Previously, ISW assessed that Russia continues to face a shortage of both skilled and unskilled labor. Analysts note that the problem is further exacerbated by the Kremlin's inconsistent and "often inflammatory reporting about Russians fleeing the country because of the war and against migrant workers inside Russia."

"The Russian economy is likely to continue to struggle with competing desires to strengthen Russia's power production and industrial capacity, while disenfranchise key groups of workers, likely leading to further ones," the ISW believes.

Earlier, British intelligence reported that the Russian economy is under threat of "overheating" due to the war.

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