The term “oligarch” / Russian Oligarchs is often used to describe a wealthy and powerful person who has a significant amount of influence over the government. In Russia, oligarchs are often seen as having close ties to the Kremlin and benefiting from government corruption.
But what exactly is an oligarch? How did they come to be? And what is their impact on Russia and the world?
This article will explore these questions in detail. We will start by defining what an oligarch is, and then we will trace their history in Russia. We will also discuss the impact of oligarchs on Russian politics and society, and their current state and influence.
The term “oligarch” is derived from the Greek word “oligarkhía,” which means “rule by the few.” In the context of Russia, an oligarch is a wealthy businessman who has amassed his fortune through close ties to the Russian government.
Russian Oligarchs typically got their start in the early 1990s, during the privatization of the Soviet Union. This was a time of great economic upheaval, as the state-owned assets of the Soviet Union were sold off to private investors. Many of these investors were former government officials or members of the communist party, and they were able to amass vast fortunes overnight.
The oligarchs quickly became a powerful force in Russian politics and society. They used their wealth to buy influence over politicians and officials, and they also used their control of key industries to shape the Russian economy.
The distinguishing characteristics of Russian oligarchs include:
- Wealth: Russian oligarchs are extremely wealthy, with net worths in the billions of dollars.
- Power: Russian oligarchs have a great deal of power in Russia, both economic and political.
- Connections: Russian oligarchs have close ties to the Russian government, often dating back to the privatization of the Soviet Union in the early 1990s.
- Secrecy: Russian oligarchs often keep their wealth and assets secret, making it difficult to track their true financial and political power.
- Corruption: Russian oligarchs have been accused of corruption, including bribery, embezzlement, and money laundering.
History of Russian Oligarchs
The rise of the Russian oligarchs can be traced back to the privatization of the Soviet Union in the early 1990s. During this time, many state-owned assets were sold off to private investors at very low prices. These investors, many of whom were former government officials or members of the communist party, were able to amass vast fortunes overnight.
The most famous example of this is Mikhail Khodorkovsky. Khodorkovsky was a former oil executive who became one of the richest men in Russia. He was also a vocal critic of President Vladimir Putin, and he was eventually arrested and imprisoned on charges of fraud and embezzlement.
The rise of the oligarchs was a major factor in the decline of democracy in Russia. The oligarchs used their wealth to buy influence over politicians and officials, and they also used their control of key industries to shape the Russian economy. This made it difficult for the government to function effectively and for the people to have a say in their own government.
FAQs on Russian Oligarchs
A) Who are the 7 Russian oligarchs known as ” Semibankirschina “?
The Semibankirschina were a group of seven Russian oligarchs who played a major role of oligarchs in post-Soviet Russia in the political and economic landscape of Russia in the late 1990s. They were:
- Boris Berezovsky
- Mikhail Fridman
- Vladimir Potanin
- Alexander Smolensky
- Anatoly Chubais
- Peter Aven
- Leonid Nevzlin
The Semibankirschina came to prominence in 1996, when they banded together to help Boris Yeltsin win re-election as president. They did this by providing financial support to Yeltsin’s campaign and by using their media outlets to promote his candidacy. The Semibankirschina’s efforts were successful, and Yeltsin was re-elected.
After Yeltsin’s re-election, the Semibankirschina continued to wield significant influence in Russian politics and business. They were involved in a number of major deals, including the privatization of state assets. They also used their influence to promote their own interests, often at the expense of the public interest.
The Semibankirschina’s power began to decline in the early 2000s, as Vladimir Putin consolidated his power as president. Putin was not as beholden to the oligarchs as Yeltsin had been, and he began to crack down on their influence. As a result, the Semibankirschina lost much of their power and influence.
However, the Semibankirschina still remain a powerful force in Russian politics and business. They continue to control significant assets and they retain the ability to influence events in Russia.
Here are some additional details about the Semibankirschina:
- They were all involved in the privatization of state assets during the 1990s, which allowed them to amass vast wealth.
- They were also involved in a number of other businesses, including banking, media, and telecommunications.
- They had close ties to the government, and they used their influence to promote their own interests.
- They were often criticized for their greed and corruption.
- Their power and influence declined in the early 2000s, but they still remain a powerful force in Russian politics and business.
Wealthy Russian individuals
Wealthy Russian individuals represent a segment of society that has garnered global attention due to their significant financial resources and influence. These Russian business tycoons , often referred to as Russian oligarchs, have amassed immense fortunes through diverse avenues, including industries like energy, natural resources, technology, and finance.
Their rise to prominence coincided with the economic transition in post-Soviet Russia, where privatization and capitalism created opportunities for wealth accumulation. While some have played pivotal roles in driving economic growth and innovation, the wealth of Russian individuals has also been met with scrutiny, with concerns raised about transparency, political influence, and economic inequality.
Influence of Russian Oligarchs on Politics
These individuals often wield power that extends beyond business, impacting politics, media, and international relations. Their stories mirror the complexities of a rapidly changing nation and its evolving position on the global stage. Russian business tycoons have an Oligarchic control in Russian economy.
Statistic about Russian oligarchs
- There are an estimated 200 to 3,000 Russian oligarchs.
- The richest Russian oligarch is Vladimir Potanin, with a net worth of over $30 billion.
- The average net worth of a Russian oligarch is around $10 billion.
- The oligarchs control a significant portion of the Russian economy, estimated to be around 50%.
- The oligarchs have been accused of corruption, human rights abuses, and money laundering.
- The sanctions imposed on Russia by the West in response to the invasion of Ukraine have targeted the oligarchs’ assets, in an effort to pressure them to pressure Putin to end the war.
The Russian oligarchs continue to play a significant role in Russian politics and economy. They are often seen as having undue influence over the government, and they have been accused of using their wealth to corrupt politicians and officials.
he sanctions imposed by the West on Russia in response to its invasion of Ukraine have had a significant impact on the Russian economy, and the Russian oligarchs have been some of the hardest hit.
The sanctions have targeted the oligarchs’ assets, including their businesses, yachts, and luxury homes. They have also made it more difficult for the oligarchs to travel and do business.
As a result, the oligarchs have lost billions of dollars in wealth. The top 10 Russian oligarchs have lost a combined $38 billion since the start of the year.
| Rank | Name | Net worth USD | $ YTD change* | Bloomberg List |
|---|---|---|---|---|
| #1 | Vladimir Potanin | $25.9B | -$5.00B | 53 |
| #2 | Leonid Mikhelson | $22.6B | -$9.87B | 66 |
| #3 | Alexey Mordashov | $22.5B | -$6.32B | 67 |
| #4 | Vladimir Lisin | $21.6B | -$6.44B | 69 |
| #5 | Alisher Usmanov | $19.0B | -$2.25B | 89 |
| #6 | Andrey Melnichenko | $17.8B | +$0.35B | 99 |
| #7 | Viktor Vekselberg | $16.7B | -$1.79B | 107 |
| #8 | Roman Abramovich | $14.1B | -$3.90B | 132 |
| #9 | Mikhail Prokhorov | $13.8B | -$0.23B | 138 |
| #10 | Suleiman Kerimov | $11.8B | -$3.37B | 177 |
| Total | $185.8B | -$38.8B |
The oligarchs have also been accused of human rights abuses, such as the suppression of dissent and the use of forced labor.
The sanctions imposed on Russia by the West in response to the invasion of Ukraine have targeted the oligarchs’ assets, in an effort to pressure them to pressure Putin to end the war.
The future of the Russian oligarchs is uncertain. The sanctions could force them to sell off their assets or to flee Russia. They could also face criminal charges for corruption or human rights abuses. However, it is also possible that they will be able to maintain their wealth and influence, even in the face of the challenges they face.
How many Russian oligarchs have been sanctioned?
The ten most-prominent oligarchs of the early Putin era include Roman Abramovich, Oleg Deripaska, Mikhail Prokhorov, Alisher Usmanov, Viktor Vekselberg, Leonid Mikhelson, Arkady Rotenberg, Gennady Timchenko, Andrey Guryev and Vitaly Malkin.
The Russian oligarchs are a powerful and influential group that has had a significant impact on Russia and the world. Their wealth and connections have allowed them to gain control of key industries and to influence government policy. They have also been accused of corruption and human rights abuses.
The future of the Russian oligarchs is uncertain, but they are likely to remain a force to be reckoned with for years to come.
