In one of the most significant reshuffles of Russia’s military leadership, President Vladimir Putin appointed Andrei Belousov, a seasoned economist, as the new Minister of Defence, replacing the long-serving Sergei Shoigu. This unexpected move underlines a fresh priority on fortifying the war economy of Russia in its ongoing invasion of Ukraine.
Belousov, 65, formerly First Deputy Prime Minister, has taken on a job that has traditionally been filled by those with military backgrounds. His appointment is a quirky move, an indication of Putin’s desire to bring economy men into defense. The change is part of a serious need inside the Kremlin, sources say, to inject more innovation and production into the defense industries, part of the dire need facing Russia in its struggles through equipment shortages and technological challenges.
Shoigu, who was reassigned to the position of Secretary of the Security Council, had been one of the most popular figures in the then-Russian military circles since 2012. Deeply rooted and politically loyal, his tenure had for long been marred by allegations of corruption and inefficiency in the war. Analysts say that with the stagnation on the battlefield and growing frustration in the Kremlin, removing Shoigu from the post was inevitable. “No amount of loyalty or experience can assuage Putin if the desired battlefield outcomes are not being delivered,” said a defense analyst.
Belousov’s rise to power is seen as a strategic move toward these goals. Known for a hardline stance on state interests and economic regulation, Belousov has served as an important ideologue behind several of Putin’s most high-profile economic policies. His experience in the field of cybernetics economics, as well as his involvement in adapting Russia into a war economy, made him uniquely suited for the task that lay ahead in taking on the challenges facing the defense sector. “Belousov is personally loyal to Putin and he’ll sort this all out,” said one political consultant with close ties to the Kremlin.
The reshuffle also comes in the wake of a corruption scandal involving the former Deputy Defense Minister Timur Ivanov, a close aide to Shoigu. The scandal has resulted in several arrests and underlined the pervasive corruption within the Defense Ministry. Belousov, seen as relatively clean by Moscow’s standard, will be expected to spearhead such corrupt practices that the ministry has now shown to curtail while simultaneously ramping up defense production.
This shake-up is not just about personnel changes but signifies a broader shift in strategy. As the war in Ukraine drags on, the Kremlin concentrates on sustaining and building up its military-industrial complex. “The shake-up is about consolidating the role of the military-industrial complex as the main locomotive of the economy,” explained Evgeny Suvorov, chief Russia economist at CentroCredit Bank.
His appointment could also reveal a new and more creative turn in military strategy, particularly in terms of unmanned aerial vehicles. An ardent proponent of the Russian drone industry, Belousov has ambitious plans for raising the production of drones that could be quite pivotal in the ongoing conflict.
The shake-up of Shoigu and the appointment of Belousov do indeed signal a sea change, but fundamentally, problems of corruption and inefficiency persist within the Russian defense establishment. This reshuffle also reflects Putin’s approach to governance, where loyalty and economic pragmatism are cardinal virtues. Indeed, it will be a change witnessed in the ongoing situation in Ukraine, which is continuously reporting an aftermath in the realm of Russia’s military strategy and effectiveness.