The new Russia didn’t get off to a good start. It first had to sell off almost 45,000 businesses that had been owned and run by the communist government. The firms fell into the hands of a few opportunistic men, making many of them billionaires overnight. These men came to be known as the Russian oligarchy — and would later become crucial allies that helped Putin maintain, and expand, his hold on power.
At the same time, Russia’s first president, Boris Yeltsin, was wildly unpopular, with many ordinary Russians seeing him as a weak-willed leader incapable of standing up to the US or protecting his country from terror attacks launched by militants from the breakaway republic of Chechnya. Russia’s economy went into a nosedive, and corruption was rampant.
Enter Vladimir Putin.
The former spy became the deputy mayor of St. Petersburg in 1991. He quickly gained favor with the oligarchy by helping them structure monopolies and restricting licenses to their competitors. Criminal organizations also became very powerful during the post-Soviet chaos, and Putin helped them launder money and set up front companies.
He quickly began to remake the Russian state, enriching the oligarchs who supported him and crushing those who didn’t. Mikhail Khodorkovsky, once Russia’s richest man, was an outspoken critic of Putin, until he was swiftly arrested for corruption and sent to a labor camp in east Russia.
Putin also began to push his worldview outside of Russia’s borders. As a former Soviet spy, Putin was deeply skeptical and paranoid about the West. He was particularly concerned about the possibility of former Soviet republics like Ukraine, Georgia, and the Baltic states joining the NATO military alliance, since that would bring them out of Russia’s sphere of interest and place them squarely in that of the US and its allies.
Putin has also tightened his grip on his own country. With the continued support of criminal organizations, oligarchs, and the Russian security services, Putin has been able to stifle Russia’s free press while gutting its civil institutions and eliminating any semblance of political opposition. Critics such as journalist Anna Politkovskaya and political dissident Denis N. Voronenkov are murdered, their killers never found.