NATO has assessed that Russia can sustain its current level of military operations in Ukraine through at least 2027, the BBC’s Russian service reported Tuesday, citing an anonymous senior official from the defense alliance.

Despite mounting domestic economic pressures, the alliance estimates that the Kremlin has enough resources to finance the war for several more years, the senior NATO official told BBC Russian on the sidelines of the alliance’s summit in The Hague.

At the same time, NATO believes that Russia’s defense-industrial base is already operating at full capacity and that any further expansion of weapons production is likely unfeasible, the official said.

NATO also attributes President Vladimir Putin’s confidence that Russia is winning the war at least in part to distorted intelligence reports being delivered to the Kremlin.

U.S.-led diplomatic efforts to end the war have so far failed to achieve meaningful progress, the official continued, claiming that Putin is only interested in short-term agreements that would work to Moscow’s advantage.

The NATO official also acknowledged that Ukrainian armed forces’ continue to face manpower shortages, something Putin has referenced in his speeches.

“How serious this becomes depends on what Ukraine is going to do about it,” the official said.