Russia's Economy, 2009-2021: The Road to War
Russia's Economy, 2009-2021: The Road to War Introduction In the previous post, we saw how Putin built a strong, centralized economic system in the 2000s. This part answers a different question: how did that system become the Kremlin's main line of defense against Western sanctions, international isolation, and a long war? The pivotal date in this transformation is 2014. The Western sanctions imposed after the annexation of Crimea, combined with the sharp drop in oil prices, convinced the Kremlin that export revenue alone could no longer guarantee Russia's economic security. What followed was a buildup of reserves, the shielding of financial channels (alternative infrastructure), and tighter state control over strategic sectors. This is how the construction of the so-called "fortress economy" began - a model built not for citizens' welfare, but for the state's endurance. This model created the financial and institutional foundation ...
