As Russia undergoes a significant transformation, its economy and civil service are being shifted towards a wartime footing. President Vladimir Putin, who was re-elected for a fifth term on March 17th, is increasingly relying on a new generation of loyal elites, leaving behind the old “system liberals” who are often the most competent individuals in the country. This shift in leadership is not only about political longevity but also about the professional management of the economy and finance in Russia.
Over the years, Putin has cultivated a group of loyal elites who prioritize loyalty to the Kremlin over professionalism. This new generation of elites, often Western-educated, sees their careers as more successful in authoritarian Russia than in the democratic West. Additionally, individuals with backgrounds in security services, police, and the military have also risen in prominence in Putin’s leadership circle. The pressure on the “old” elites has increased significantly in recent years, with dissent seen as a form of betrayal.
In recent times, Putin has implemented policies to ensure the loyalty of the elites, such as nationalization of assets held by dual citizens and prohibiting dual citizenship altogether. These trends indicate a shift towards a more authoritarian and militarized elite in Russia. Furthermore, veterans of military operations are being promoted into public service positions to reward loyalty.
The purge of old competent guard within economic and financial sectors is exacerbating internal conflicts within Russian bureaucracy further. The new reality of war economy requires new leadership methods and management techniques but it remains uncertain whether these changes will improve or worsen Russia’s situation. The current trajectory suggests radical restructuring of governance and elite power dynamics which may have implications for internal stability and economic performance.
Putin’s approach to managing his government has been characterized by an increasingly authoritarian style that relies heavily on security services to maintain control over dissenters within his own ranks. This has led to significant tensions between Putin’s loyalist faction and those who challenge his rule from within government agencies such as opposition parties or independent journalists.
Despite these challenges however