Rosstat data was heavily skewed by including the average wage index of wealthier regions, namely: Moscow ($2200 per month), Chukotka ($2800 per month), Yamalo-Nenets Autonomous Okrug ($2200 per month), Madagan Oblast ($1900 per month), and Sakhalin Oblast ($1500 per month). Had these regions been excluded from the calculations, the actual average income of regular Russians would be a quarter less than the stated numbers, averaging at about $800, according to data from Russia’s Non-state Pension Funds Association (NAPF).
Income distribution across the country remains extremely uneven. According to NAPF, 78% of Russians earn less than $1300 a month. Only 12% of this group (approximately 9 million people) earn more than the national average - more than $1300. Approximately 11% earn $800-$1000; 15% earn $600-$800; and 40%, the largest segment of the population (approximately 30 million people), subsist on less than $600 a month.
The average wage index published by Rosstat does not reflect economic reality on the ground, according to Darina Medvednikova, a junior researcher at the Russian Presidential Academy. A more accurate picture can be gleaned by looking at the median income, which shows that people earn less. In 2024, the median income was $625, 26% lower than the purported $830. Rosstat was yet to publish the figures from 2025.
The average wage index can be heavily skewed by extreme values at either end of the distribution, so even a small group of ultra-rich citizens can significantly boost its value, said Olga Lebedinskaya, Associate Professor at the Department of Statistics in Plekhanov Economics University in Russia. Focusing on average figures can lead to undervaluing the size of vulnerable groups, resulting in misguided economic policy, added Yaroslav Kabakov, Strategy Director at Finam. He predicts that in 2026, incomes of wealthy groups will grow, while the majority of Russians will face stagnation. As a result, the gap between the average income and the income of the majority of citizens will remain at 20-40%.
The official forecast also predicts slower growth due to the deteriorating economic situation. According to the Economic Development Ministry, real incomes will grow by only 2.1% in 2026, compared to 7.7% the previous year.
Kremlin-affiliated experts admitted that the Russian economy is close to stagflation, with its industrial sector continuing to deteriorate.
Russian oil and gas revenue sharply dropped in 2025, reaching its lowest level since the coronavirus pandemic.
Capacity utilization at one of Russia's largest steel producers, the Magnitogorsk Iron and Steel Works, has fallen to around 60%, with the company shutting down idle facilities and reducing its workforce.
The Kremlin acknowledged that the country’s budget could face a significant deficit as early as 2026 due to a loss of oil and gas revenues.
Ukraine’s Foreign Intelligence reported that the financial situation of medium and large enterprises in Russia continues to deteriorate, revealing mounting imbalances within the country’s corporate sector.
More than half of large Russian companies ended 2025 with declining profits and reduced or completely frozen investment projects. As such, many of these companies are preparing to lay off employees.
On Feb. 24, it was revealed that about 300 companies in Russia were planning to close.
For the first time in history, 74 Russian oblasts found themselves in a financial hole.
Russia is starting to experience a wave of mass business closures.
The Russian Finance Ministry has admitted that the country’s treasury is in a financial hole, and it is deepening at a record pace.
According to Rosstat, more than 17,000 Russian enterprises have reported losses.