Russia retreats to autarky as poverty looms

Vladimir Putin is falling back on Soviet-era self-reliance as oil wealth evaporates and sanctions cut off vitally-needed technology

Russia is running out of money. President Vladimir Putin is taking a strategic gamble, depleting the Kremlin’s last reserve funds to cover the budget and to pay for an escalating war in Syria at the same time.

The three big rating agencies have all issued alerts over recent days, warning that the country’s public finances are deteriorating fast and furiously. There is no prospect of an oil revival as long as Saudi Arabia continues to flood the market. Russia cannot borrow abroad at a viable cost.

  • And people thought that Putin acted in the best interests of everyone.

    Never trust a KGB agent.

  • Maurixio Garciasanchez

    The sanctions are not interfering with their military built-up around the world , now Russia and China are joining together to have a free trade alliance , the West should put China under sanctions as well .

  • FactsWillOut

    So, the west is complicit in starving white Christians. Big surprise.

  • FactsWillOut

    Another valid point is something that Putin knows but the west has forgotten:
    The ONLY thing one needs to have a valid, stable state is a military.
    So, he can cut social spending and so on to the bone and still win, whereas we westerners are too far into Tytler’s cycle to even dream of doing so.

    • tom_billesley

      On the road to North Korea.

      • FactsWillOut

        Actually, closer to 19th century USA.

  • Norman_In_New_York

    The article makes a lot of sense. How many Russian consumer brand names can you think of? Fewer than South Korea, right?

    • FactsWillOut


      • Norman_In_New_York

        In the case of South Korea, Hyundai, Samsung, Kia and Hankook immediately come to mind.

  • FactsWillOut

    Lastly, what kind of fool thinks autarky is a bad thing?

    • Brett_McS

      The kind of ‘fool’ that thinks trade is a good thing.

      • FactsWillOut

        Autarky doesn’t preclude trade..




        economic independence or self-sufficiency.

        a country, state, or society that is economically independent.

        plural noun: autarkies; plural noun: autarchies

        Unless it’s some kind of newspeak definition of the word?

        • tom_billesley

          No money no trade…

  • tom_billesley

    Consolidate Assad, then force Islamic State southwards into Saudi Arabia, so that oil price leaps. That’s the plan.

  • Hard Little Machine

    I smell a blockade of the Persian Gulf under the auspices of the Iranians coming soon. 40% of the world’s energy transits the Straits of Hormuz. Choke it off a bit, jack the price of crude to $200 a barrel. Then Obama in a last gasp for his legacy decides to raise taxes to the sky to ‘develop’ wind turbines for black neighborhoods in Baltimore. And we all fall back into an 18th Century pre industrial age.

    It’s like Pol Pot on meth.