Deep Economic Crisis

Oligarch Deripaska Paints a Bleak Picture for Russia

According to businessman Oleg Deripaska, his country must now reinvent itself.(Bild: AFP/OLGA MALTSEVA)

Russian oligarch Oleg Deripaska admits, in an unusually candid manner, to a “profound crisis” in Russia. The solution, he suggests, is a workweek of 72 hours instead of the country’s standard 40. The new rule would apply to all citizens.

Deripaska, a billionaire industrialist, is part of the inner circle around Kremlin leader Vladimir Putin—only time will tell if he has gone too far with his remarks. “This post would have landed any opposition figure in jail,” one Russian political blogger put it bluntly.

The founder of the aluminum company Rusal wrote boldly on Telegram: “The world has changed since this year. For everyone, not just for our country.” The reason for the profound crisis, he explained, is a difficult transition: “From the global opportunities we used to have to regional ones, with all sorts of restrictions,” Deripaska elaborated. He accused Putin’s security forces of “destroying the institutions of the rule of law.” It is precisely for this reason that investment in the Russian economy has dried up.

Hectic scenes of everyday life in the Russian metropolis of Saint Petersburg(Bild: AP/Dmitri Lovetsky)

The uniqueness of the Russians
The oligarch no longer sees many resources. “To be more precise, just one, and it’s linked to our national character: in difficult times, we can pull ourselves together and work harder,” he continued. Therefore, everyone should now adjust to new working hours, namely “from eight to eight, including Saturdays.”

A Russian observer expressed his conviction: “It is possible that the government is openly and systematically preparing the population for a scenario of total labor mobilization.”

Economy Suffers from Sanctions and Conflicts
Even rising energy prices—oil prices have risen by 70 percent this year—can no longer make much of a difference given the current bleak situation. Sanctions are weighing heavily on the economy, and growth is declining significantly. Furthermore, geopolitical tensions and the blockade of the Strait of Hormuz are also taking their toll on Russia.

For Deripaska, one thing is certain: Russians have been made twice as poor over the past three years. No one would shed a tear; the busy citizens simply wouldn’t have time for that anymore. “12/6—our rebirth from the ashes,” writes the oligarch.