Russia may run out of money in 2024, we need foreign investors, claims oligarch

Russian billionaire Oleg Deripaska told the Krasnoyarsk Economic Forum on March 3 that Russia could run out of money as early as next year without new foreign investment from "friendly countries" and warned government policies are hurting the financial environment. 

Russia's treasury may run dry within a year, necessitating foreign investment, said outspoken Russian oligarch Oleg Deripaska at an economic conference in Siberia. The remarks came after Russian President Vladimir Putin praised the country's economy for its resilience in the face of unprecedented Western sanctions imposed the previous year.

In light of the Russia-Ukraine conflict, he reportedly stated, "There will be no money already next year, we need foreign investment," according to remarks obtained by the Russian state-owned news agency TASS. Early in the conflict in 2022, the Russian billionaire called for an end to Moscow's war in Ukraine.

According to Deripaska, foreign financiers, particularly those from "favoured" nations, also play a significant role. He was cited as stating that the success of foreign investments will rely on Russia's capacity to create favourable circumstances and attractive markets.

In an attempt to deny the Kremlin resources for its aggression, Western countries have applied over 11,300 sanctions since the invasion in February 2022 and frozen about $300 billion of Russia's foreign assets.

Russia’s economic output shrank 2.1% last year, according to a preliminary estimate from the government. The contraction was more limited than many economists initially predicted.

However, China has given the Russian government a financial lifeline by purchasing its energy, taking the place of Western suppliers of products like machinery and base metals.  Yet, Moscow has a long way to go before it can recover the lost export money and other sources of income due to the sanctions.