Putin asks oligarchs to donate to Russia’s dwindling defence budgetdwindling defence budget
Russian President Vladimir Putin has asked some of the country’s wealthiest oligarchs to make voluntary financial contributions to the state budget to help cover rising military costs linked to the war in Ukraine. The request came during a closed-door meeting with top business leaders in Moscow on 26 March 2026, following Putin’s public speech at the annual congress of the Russian Union of Industrialists and Entrepreneurs. Reports indicate that at least one oligarch, Suleyman Kerimov, pledged around 100 billion rubles (about €1 billion), while others signalled willingness to donate without specifying amounts. Russia faces shrinking energy revenues and a slowing economy, and the government is also considering cutting non‑sensitive spending by up to 10% in the 2026 budget, depending on how long higher oil prices last. The move signals growing fiscal pressure on Moscow as it seeks to sustain a large‑scale war effort despite years of Western sanctions.
Kremlin and Russian state‑aligned view
From the Kremlin’s perspective, the request to oligarchs is framed as a patriotic, voluntary contribution by the business elite to support national security and the defence of Russia’s interests in Ukraine. Officials portray the move as a temporary, conservative adjustment to public finances, necessary to maintain military readiness while avoiding deeper cuts to social spending or broader tax hikes.
Western and independent Russian media view
Western and independent Russian outlets describe the move as a sign of mounting financial strain, portraying it as a form of informal ‘shakedown’ of the billionaire class to plug a growing defence‑spending gap. They argue that the need to solicit private donations reflects the limits of Russia’s economic resilience under prolonged sanctions and high war costs.
- Suleyman Kerimov, one of Russia’s richest men, is a metals and mining tycoon with reported ties to the state‑owned Gazprom and to the online retailer Wildberries.
- The Russian Union of Industrialists and Entrepreneurs is a powerful business lobby group that regularly hosts top Kremlin officials and shapes economic policy debates in Moscow.
- Russia’s defence budget has more than doubled since the start of the war in Ukraine, making it one of the fastest‑growing items in the federal budget.
Russia-Ukraine War
Russia and Ukraine are locked in an retaliatory long-range drone and missile war that now strikes deep into both countries, including Moscow, St. Petersburg, Crimea, and major Ukrainian cities like Kyiv and Dnipro. Ukrainian forces launched one of their largest drone attacks on June 26, striking 12 Russian regions and hitting key energy targets, while Russia continues massive retaliatory bombardments that kill civilians and destroy infrastructure.
26 June, 09:41 AM
Ukraine unleashes massive drone bombardment on 12 Russian regions24 June, 10:31 AM
Ukrainian drones knock out power in Russian-held Sevastopol22 June, 03:20 PM
Ukraine strikes Russian missile electronics plant in Voronezh
