News Feed
Show More
News Feed

Bloomberg: Russians who left abroad increasingly return home, boosting economy

2 min read
Bloomberg: Russians who left abroad increasingly return home, boosting economy
Illustrative purposes only: The Sheremetyevo International Airport in Russia's Moscow Oblast on April 3, 2017. (Wikimedia Commons)

An increasing number of Russians who left abroad after the outbreak of the full-scale invasion are returning home, namely due to difficulties with residence permits and jobs abroad, Bloomberg reported on May 2.

Around 1 million Russians left the country after the start of the all-out war due to their opposition to the invasion or out of fear of mobilization.

As the war entered its third year with no end in sight, many Russian expatriates are being rejected when applying for extended residency, or face challenges with running businesses abroad, Bloomberg wrote.

Russia claimed in June 2023 that half of those who fled the country in the early days of the all-out war have returned. Finion, a Moscow-based relocation firm, confirmed that an estimated 40%-45% of those who left in 2022 have returned to Russia, the outlet said.

Moscow has sought to use this as "evidence" of the support for Russian President Vladimir Putin's policies.

Subscribe to the Newsletter
Ukraine Business Roundup

The country is also actively trying to attract specialists, for example, in the IT sector, in order to reverse the brain drain.

"The reverse migration has likely added between one-fifth and one-third to Russia's 3.6% annual economic growth in 2023," Bloomberg Economics estimates.

While the number of returning workers represents only around 0.3% of the total number of employed, the resulting economic boost underscores the value of the expatriates' activity.

Western countries and their partners have sought to exert pressure on Russia's economy through sanctions in order to curb its ability to wage war against Ukraine.

Despite the efforts to isolate it economically, Russia's economy is expected to grow by 3.2% in 2024, the International Monetary Fund (IMF) said. Moscow said that sanctions made the country more self-sufficient, while energy exports to India, China, and other countries continue to fill its coffers.

Russian banks post record profits. Is war helping them?
2022 heralded a new era for Russia’s banks. Increasingly isolated from the global economy and laden with heavy Western sanctions, the sector saw profits fall by 90 percent compared to 2021. For Russia’s technocrats, the future seemed dim. Then came 2023. Russia’s Central Bank announced last week
Avatar
Martin Fornusek

Senior News Editor

Martin Fornusek is a news editor at the Kyiv Independent. He has previously worked as a news content editor at the media company Newsmatics and is a contributor to Euromaidan Press. He was also volunteering as an editor and translator at the Czech-language version of Ukraïner. Martin studied at Masaryk University in Brno, Czechia, holding a bachelor's degree in security studies and history and a master's degree in conflict and democracy studies.

Read more