Economist Predicts Russian Defeat, Loses Job

Andrej Klepatsch, a highly respected economist in Russia, has lost his job as chief economist at VEB.RF, the country's leading economic development institution. His dismissal followed public predictions that Russia is destined to lose its war of attrition against Ukraine and is facing an economic crisis.

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We are under the illusion that everything will collapse there [in Ukraine]. It has not collapsed and will not collapse.

Klepatsch had reportedly stated in May that Russia could not win the war and that Ukraine's economy would not collapse as some in Russia believed. He also warned that Russia would "draw the short straw" in global technological and economic competition. These statements are significant because they contradict the official narrative promoted by the Kremlin and state-controlled corporations, which insist that the situation is under control and that Russia will achieve its war aims.

According to independent media reports, Klepatsch's dismissal was prompted by a "call from above," suggesting direct Kremlin involvement. Igor Shuvalov, the head of VEB.RF and a confidant of President Vladimir Putin, reportedly made the decision. While Klepatsch confirmed his dismissal to Forbes, he did not provide a reason. Other reports indicate that his personal economic and political assessments were deemed incompatible with the state-owned company's official stance.

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Russia will draw the short straw both in technological and economic competition worldwide.

The incident underscores the precarious position of dissenting economic voices within Russia, particularly when their assessments challenge the government's portrayal of the war and the nation's economic resilience. Despite Putin's repeated assertions of impending victory, economic problems in Russia continue to mount.

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call from above