Russia's Perfect Storm: Is a Default Looming?

The transcript discusses Russia's economic challenges, including a significant drop in foreign direct investment, a declining ruble, and the impact of oil prices and sanctions. These issues are compounded by geopolitical tensions, particularly with Ukraine and the West. Despite internal political support for Putin, these economic problems could threaten his power base. Russia has substantial financial reserves, but the Kremlin is cautious about spending due to low oil prices. There are fears of potential debt defaults by Russia and its state firms, which could have severe implications for Putin's international standing.

What concerns exist regarding potential defaults on debt by Russian firms?

Why is it important for Vladimir Putin to maintain Russia's international standing?