Russia has maintained its position at No. 4 in the global economy

Russia has maintained its position at No. 4 in the global economy, with its GDP reaching $6.92 trillion in 2024 based on purchasing power parity (PPP). This figure surpasses Japan’s economy by $514 billion, while the U.S. and China continue to lead the world.

Last year, Russia’s economy grew to an estimated $6.92 trillion in PPP terms, allowing it to hold onto its fourth-place ranking. In contrast, Japan’s economy expanded to about $6.41 trillion but failed to keep up, resulting in Russia’s lead widening to approximately $514 billion—almost double the gap from the previous year.

However, for many Russians, this impressive number hides a more complicated reality. While energy exports have significantly boosted the federal budget, rising consumer prices—nearly 10 percent annually—are putting pressure on family finances. Many households are struggling with increased costs for food and fuel, even as real wages see slight improvements. The top three economies in the world remain unchanged. China leads with a staggering $38.2 trillion, fueled by its vast manufacturing sector and a thriving services industry.

The United States follows with around $29.2 trillion, supported by consumer spending and advancements in technology and finance. In the U.S., 2024 has seen steady growth of about 2.8 percent, according to IMF estimates. Job opportunities have increased in healthcare, hospitality, and renewable energy—sectors that promise both growth and better living standards.

However, challenges like housing affordability and student loan debt continue to be significant issues, showing that overall growth doesn’t always benefit every community equally. Japan, despite being the fifth-largest economy in terms of PPP, is facing persistent low growth. With an expansion of just over 1 percent last year, the country is dealing with an aging population and cautious business investments.

Japanese leaders are working to encourage more young parents to join the workforce and to revitalize local industries. Looking forward, global analysts predict that Russia’s growth rate will slow significantly to around 1.5 percent.

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