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Cash Based Economy

All articles tagged with #cash based economy

finance2 years ago

Compensation for Wagner mercenaries' families impacting Russia's economy.

Families of Wagner Group mercenaries killed in battle are given compensation of about $60,000, which is paid in cash and not put in banks to avoid tax or other scrutiny. This has led to more than $1 billion in cash being in circulation, affecting Russia's economy and contributing to the growing "shadow economy" that reduces the amount of tax revenue needed to fund Putin's war. The number of payouts may have also contributed to Russia's economy becoming increasingly cash-based, suggesting falling confidence in the stability of Russian banks.