Russia ramps up defense budget as war in Ukraine drags on

Russia is set to expand its 2026 defense budget by about 40% compared with the previous year’s plan, after President Vladimir Putin authorized additional spending. Kremlin sources estimate that daily military operations now cost between $500 million and $1 billion. The increased budget supports a strategy of attrition, with more frequent missile and hard-to-intercept drone attacks on Ukrainian power grids, transport links, hospitals and other civilian targets.

The Center for Strategic and International Studies notes that Russia has suffered heavy personnel losses since the invasion began in February 2022. Relations with Europe have grown more strained following NATO drills in the Baltic Sea and Russian warnings of possible nuclear retaliation if Kaliningrad is attacked. These developments suggest Moscow is prepared to sustain and possibly intensify the conflict for years to come.