The Russian finance minister urged oligarchs to prepare for tough times
Russian Finance Minister Anton Siluanov warned the country’s top business leaders that “difficult times” were ahead for the economy.
During a conference of the Russian Union of Industrialists and Entrepreneurs, he urged Forbes billionaires to radically cut costs.
Siluanov emphasized that, given the current crisis, the survival of businesses will depend on their ability to minimize internal expenses.
He explicitly pointed to the need to “cut significant costs” and increase labor productivity as top priorities for the private sector.
“Now is precisely the time to think about our competitiveness. And the issues of cutting costs, optimizing expenditures, and labor productivity are exactly what businesses—and, of course, the economy as a whole—need most right now,” Siluanov stated.
These calls come amid the growing isolation of the Russian market and technological lag. Businesses are forced to tap into internal reserves, as external sources of financing and development remain blocked.
According to the minister, the Russian government has also shifted to a strict austerity regime due to a sharp drop in revenue from raw material sales at the beginning of the year.
The situation is so serious that the authorities are considering a 10% budget sequester on items not related to military needs.
“Today, the government’s main task is working on the budget, on the budget balance. Not only for the current year, but also for the future. We are actively working on expenditures,” emphasized the head of the Russian Ministry of Finance.
As a reminder, Russia’s economy is on the brink of a crisis.
Additionally, the Russian corporate sector experienced a significant contraction in 2025, resulting in the number of new business registrations falling to 173,000—a 20% decrease from the 2024 level.
