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Russia officially holds the largest GDP in Europe, following a Friday GDP report. The country’s war-driven economy has seen a boom in 2024, and it’s now the highest GDP in the continent in terms of Purchasing Power Parity “PPP.” The World Bank also classifies Russia’s economy as high-income in a new report published this week.
Russia has flourished economically despite increased sanctions since its invasion of Ukraine in 2022. Russia’s GDP grew 3.6% in 2023, with trade and financial sectors rebounding. The country’s trade jumped by nearly 7% last year, while activities in the financial sector and construction grew by 6.6% and 3.6%, respectively.
“Economic activity in Russia was influenced by a large increase in military-related activity in 2023,” World Bank economists wrote in their report this week. The report confirms that Russia’s war activity and recent actions have indeed boomed its economy. It adds that Russians earned $14,250 per person on a gross national income basis in 2023.