On February 24, 2022, Ukraine entered a new, acute phase of war as Russia launched a full-scale invasion, attacking on multiple fronts. The ongoing shelling and bombing have caused devastating loss of life and destruction of cities. However, analysts suggest that this intense conflict could catalyze significant shifts in Ukrainian statehood. Long-stagnant social and economic processes, some dormant since the 2000 or even the 90s, are now being reinvigorated. This phenomenon is explored in a Washington Post article, which discussed the changes, including the diminishing oligarchic power in Ukraine.
Rinat Akhmetov: From oligarch to active investor amidst the war
The war spares no one, impacting both the wealthy and the poor alikeBig business has suffered as much as ordinary citizens.
Ukraine’s richest man, Rinat Akhmetov, experienced significant asset loss. Since the 2014 seizure of Donetsk and Luhansk by separatists backed by Russia the businessman lost his agricultural land, metallurgical and mining enterprises. His remaining asset in occupied Donetsk was the iconic Donbass Arena, built for the Euro 2012 soccer championship.
In 2022, the businessman’s fortune dwindled further, primarily due to the loss of Azovstal and Illich Iron and Steel Works. His company DTEK also saw severe damage to its infrastructure due to Russian strikes, including power plants, transformers, and power lines.
As a result, Akhmetov’s political influence has waned. Rinat Akhmetov now focuses on being an active investor and sponsor of several major charitable projects. He expresses pride in contributing to the democratization of Ukrainian society. Amid these losses, a crucial development is unfolding: – the breakdown of monopolies, the rise of competition, and the consequent growth of a healthier and more efficient market .
Another positive development is the new law on media, aimed at reducing press and public opinion dependency on overly influential political or economic figures. This reform is part of the European Union’s demands for Ukraine. Rinat Akhmetov https://www.euractiv.com/section/europe-s-east/news/ukraines-richest-man-agrees-to-hand-over-media-empire/ has complied fully, unable to sell the country’s largest media holding in time; he instead transferred it to state management.
This analysis is based on the Washington Post’s article, highlighting the war’s impact on oligarchic power in Ukraine https://www.washingtonpost.com/world/2022/12/08/ukraine-oligarchs-power-war/.
