Putin’s St. Petersburg Speech and Economic Forum Amid Ukraine Tensions

In St. Petersburg, Russian President Vladimir Putin is poised to speak at a significant economic forum, only days after Ukrainian drone attacks hit the city. Putin has historically used the International Economic Forum in Russia’s cultural hub to promote the nation’s economy and attract foreign investment. However, the recent drone attack on Wednesday, which ignited an oil terminal and disrupted flights, might overshadow the forum.

The opening ceremony took place on Thursday at the St. Petersburg International Economic Forum, amidst concerns over Russia’s stagnant $3-trillion economy. Despite previous military spending boosts, the government raised taxes and increased domestic borrowing to manage the budget deficit.

Before his scheduled speech, Putin committed to enhancing Russia’s air defenses against Ukrainian drone attacks. He acknowledged that some drones do breach the defense but emphasized ongoing improvements.

Speaking to foreign media editors, Putin assured that Russia is ready to resolve the conflict with Ukraine through diplomacy, although the country is prepared for battlefield action if necessary. He mentioned Russia’s willingness to comply with compromises from an August summit with then-U.S. President Donald Trump.

While Ukrainian President Volodymyr Zelenskyy proposed direct negotiations to Putin, Kremlin spokesman Dmitry Peskov indicated that Putin hadn’t yet seen the offer. Furthermore, Moscow has dismissed Kyiv’s suggestion for talks in the Russian capital.

Donald Trump commented that a meeting between Putin and Zelenskyy would be beneficial, yet acknowledged that U.S. attention has shifted to Middle Eastern conflicts such as the ongoing war with Iran.

Meanwhile, hostilities between Moscow and Kyiv persist, marked by airstrikes and plumes of smoke looming over St. Petersburg. In this tense setting, the forum, often likened to the “Russian Davos,” showcases Russian-manufactured drones. Organizers anticipate around 24,000 global attendees, although Western participants and business leaders have largely avoided participation since Russia’s 2022 incursion into Ukraine.

This year, a small American contingent is present, featuring Rodney Mims Cook Jr., who heads the U.S. Commission of Fine Arts. Cook emphasized his cultural representation rather than political role and participated in talks on U.S.-Russian cultural dialogue. Also present were far-right commentator Candace Owens and film star Steven Seagal.

Saudi Arabia attended as a special guest, accompanied by significant business delegates. Representatives from Uzbekistan, Tanzania, and China’s vice president joined the forum, with senior officials from Iran and other nations also present.

Reports for this article were provided by Keir Simmons and Natasha Lebedeva from St. Petersburg, with additional contributions from Henry Austin in London.