Russia tightens state control, stripping businesses of property rights
Photo: The Kremlin uses five key mechanisms to strip businesses of their property rights (Getty Images)
In 2025, the scale of nationalization in Russia broke all records. This indicates a further curtailment of market mechanisms and increased state control over the economy, according to the Foreign Intelligence Service of Ukraine (FISU).
"In 2025, the volume of forcibly seized property increased 4.5 times compared to 2024 and exceeded 3.1 trillion rubles, while the total amount of assets transferred to the state since 2022 reached 4.3 trillion rubles," the report says.
The intelligence report notes that big business was hit the hardest, as well-known Russian billionaires lost their assets in 2025. In particular:
- Dmitry Kamenshchik lost Domodedovo Airport
- Denis Shtengelov lost the KDV Group holding company
- Konstantin Strukov lost the Yuzhuralzoloto group.
According to the FISU, strategic enterprises, shopping centers, industrial facilities, energy companies, medical institutions, infrastructure facilities, and even educational institutions are being nationalized en masse in Russia.
"Property is being seized especially actively in Moscow region, St. Petersburg, the Urals, and the Far East," the intelligence says.
The intelligence agency also notes that the Kremlin is using five key mechanisms to effectively deprive businesses of their property rights: from so-called anti-corruption lawsuits and the review of privatization in the 1990s and 2000s to accusations of extremism and ties to foreign countries.
"This practice demonstrates the judicial system’s complete dependence on political decisions and turns nationalization into an instrument of political repression and redistribution of property in the interests of businessmen controlled by the Putin regime," the FISU concludes.
Problems in the Russian economy
At the end of December, the Foreign Intelligence Service of Ukraine reported that the financial and institutional system is sinking deeper and deeper into a state of controlled chaos. In particular, banks are concealing their ownership structure, civil servants are exempt from declarations, and entrepreneurs are barely keeping their businesses afloat.
In addition, according to the WSJ, Russia is facing serious economic difficulties due to the war in Ukraine. They predict that the situation could worsen significantly in 2026.
