Drone strikes on industrial sites and logistics hubs have disrupted production, raised inflationary pressure and are weighing on Russia's economy. A survey of economists pegs Q3 GDP growth at 0.9% YoY, down from 1.3% in Q2. The Russian central bank has warned that drone attacks are eroding production capacity across sectors. Rosstat reports refinery output fell 18% YoY in Q3, the largest quarterly decline since 2020; lower fuel output has deepened the mining downturn and pushed wholesale trade i

Drone strikes on industrial sites and logistics hubs have disrupted production, raised inflationary pressure and are weighing on Russia's economy. A survey of economists pegs Q3 GDP growth at 0.9% YoY, down from 1.3% in Q2. The Russian central bank has warned that drone attacks are eroding production capacity across sectors. Rosstat reports refinery output fell 18% YoY in Q3, the largest quarterly decline since 2020; lower fuel output has deepened the mining downturn and pushed wholesale trade into negative growth. Damage to loading docks and port infrastructure has also hit exports. Oxford Economics estimates lost crude and oil-product exports reduced Q3 total export YoY growth by about 3.75 percentage points and subtracted roughly 0.7 percentage points from GDP growth.