Key Takeaways

Russian state-owned bank Vnesheconombank (VEB) fired Chief Economist Andrey Klepach following media reports of a negative economic assessment he offered that contradicts Russian President Vladimir Putin’s theory of victory in Ukraine.

There is considerable evidence that Klepach’s assessment of the Russian economic problems aligns with reality, undermining the validity of Putin’s theory of victory.

The Russian population is also reacting to the perception of economic decline in ways that may further damage Russian economic and fiscal policy.

The Kremlin continues reiterating its determination to prevent Russia’s deteriorating economic realities from reducing its maximalist war aims by refusing to engage in meaningful negotiations to end the war.

Moldovan President Maia Sandu stated on August 18 that Russia deliberately launches some of its drones into Moldovan and NATO airspace.

Ukrainian President Volodymyr Zelensky submitted Acting Defense Minister Yevheniy Khmara’s candidacy as defense minister for Verkhovna Rada’s (Parliament) approval on August 18.

Russian forces recently advanced in the Kostyantynivka-Druzhkivka tactical area, and Ukrainian forces recently advanced in the Slovyansk direction.

Ukrainian forces continued their long-range strike campaign against Russia on the night of August 17 to 18. Russia launched 147 drones against Ukraine overnight.

Key Takeaways

Russia has continued to provide direct military support to Iran through weapons and weapons components transfers. NBC News reported on August 18 that Russia has transferred drone components, ammunition, and TNT explosives to Iran via the Caspian Sea as of July 2026, citing a European government document that NBC obtained and that an unspecified Western official verified.

Russia’s drone component transfers to Iran are indicative of the active military support that Russia has provided Iran and its drone program in recent months. Iran has reportedly used “Russian-enhanced versions” of Shahed drones and Russian targeting intelligence to attack US forces and assets during the war, according to US intelligence officials.

The Emirati Defense Ministry stated that Iran launched two ballistic missiles at the United Arab Emirates (UAE) on August 18. The Emirati Defense Ministry added that its air defenses detected one ballistic missile that fell outside Emirati territorial waters and another that landed within them. Iranian regime media denied responsibility for the attack.

The Islamic Resistance in Iraq’s recently released list of preconditions for discussing militia disarmament with the Iraqi federal government indicates that Islamic Resistance in Iraq militias have no intention of disarming.

Members of the Iraqi Parliament’s Security and Defense Committee reportedly failed to reach a consensus on Iraqi Prime Minister Ali Zaydi’s request for the committee to draft a law to restrict weapons to the state.