Russian President Vladimir Putin said Friday that Moscow’s conditions for ending the war in Ukraine remain unchanged, offering no sign of compromise even as the United States intensifies pressure for a negotiated settlement nearly four years into the conflict.
Opening his annual end-of-year press conference, Putin said Russia was prepared to end the war peacefully – but only on the terms he first laid out in June 2024, including Ukraine abandoning its NATO ambitions and withdrawing from four regions Moscow claims as Russian territory.
"We have always said this: we are ready and willing to end this conflict peacefully,” Putin said, adding that any settlement must address what he called the "root causes” of the crisis.
While saying he did not see clear readiness from Kyiv to strike a deal, Putin acknowledged "certain signals” that Ukraine might be open to dialogue.
Ukrainian officials have repeatedly accused the Kremlin of using talks as a stalling tactic and insist Russia has shown no genuine interest in peace.
Dueling battlefield claims
Putin paired his diplomatic message with a confident assessment of the battlefield, saying Russian forces now hold the strategic initiative and are advancing along the entire front line.
"Our troops are advancing in all directions,” he said, describing Ukrainian forces as being in retreat.
Ukraine disputes that account, saying Russian gains have been limited and achieved at a heavy cost in lives and equipment. Kyiv says it continues to contest key areas, including around the northeastern city of Kupiansk, which Russia claimed to have captured last month.
The competing narratives underscore how far apart the two sides remain, even as calls for a ceasefire grow louder amid mounting casualties and economic strain.
Diplomatic crossroads
The war has reached a delicate moment as U.S. President Donald Trump pushes for a peace deal – an effort that Ukraine and its European allies fear could tilt in Russia’s favor.
Moscow said it is waiting to hear how Washington has revised its draft peace proposals following consultations with Kyiv and European governments.
Russia invaded Ukraine in February 2022 after eight years of fighting between Ukrainian forces and Russia-backed separatists in the country’s east, igniting the most serious confrontation between Moscow and the West since the Cold War.
Trump, who has said he wants to be remembered as a peacemaker, has openly expressed frustration that ending the Ukraine war remains one of the unresolved goals of his presidency.
Europe, frozen assets
Putin also criticized European Union leaders for their handling of frozen Russian assets.
On Friday, EU leaders agreed to borrow money to fund Ukraine’s defense over the next two years rather than directly seize Russian sovereign assets – a move welcomed in Moscow as avoiding a legally risky precedent.
Putin warned that confiscating Russian assets would amount to "daylight robbery” and could undermine trust in the euro zone, particularly among countries that hold reserves in European financial institutions.
"No matter how they do it, they will have to give it back eventually,” he said, adding that Russia would defend its interests through international courts.
Stakes and costs
Putin cast the war as a turning point in Russia’s relations with the West, accusing NATO of expanding into what he views as Moscow’s historical sphere of influence following the collapse of the Soviet Union in 1991.
An end to the conflict could reopen channels between Russia and the United States at a time when Washington is increasingly focused on competition with China, with whom Putin has declared a "no-limits” partnership.
Continued fighting, however, risks further bloodshed, economic damage across Europe and rising escalation risks.
U.S. officials estimate that Russia and Ukraine together have suffered more than 2 million casualties, including killed and wounded, since the war began – figures neither side publicly confirms.
Growth slowed by design
Turning to domestic issues, Putin said Russia’s economy is slowing by design, describing lower growth as the price of controlling inflation and preserving macroeconomic stability.
He said GDP growth stands at about 1%, with inflation expected to fall below 6% by year’s end.
Real wages, he added, are still rising, though more slowly than last year.
Russia’s federal budget deficit is projected at 2.6% of GDP this year, narrowing to around 1.6% next year, while public debt remains among the lowest in advanced economies, according to Putin.
The war dominated the opening stretch of the "Results of the Year” event – a marathon question-and-answer session Putin has held in various formats since 2001.
The Kremlin said more than 2.6 million questions were submitted ahead of the event, which included journalists and ordinary citizens.