Nearly one third of real estate developers in Russia could soon be facing bankruptcy, in part due to sanctions stemming from Moscow's invasion of Ukraine, according to an assessment by Kyiv.

Newsweek has contacted Russia's Finance Ministry for comment.

Why It Matters

Russia's housing sector is a bellwether for the country' broader economy, which has been buffeted by sanctions, worker shortages and high interest rates.

The construction sector is a major employer and its decline threatens to ripple across the rest of the economy, posing a political problem for the Kremlin which has tried to present the war it started as not hitting the pockets or lifestyles of Russian citizens.

What To Know

Falling sales and high interest rates have pushed around one fifth of developers toward bankrup

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