Putin to replace his defence minister in surprise reshuffle

Vladimir Putin is replacing his defence minister with a civilian economist in an attempt to better equip Russia for an economic war after the West tried, and so far largely failed, to cripple his forces with sanctions.

The Russian president proposed Andrei Belousov, a 65-year-old former deputy prime minister who specialises in economics, to replace Sergei Shoigu, 68, as defence minister in a shock reshuffle on Sunday night.

Mr Belousov, a former economy minister known to be very close to Mr Putin, shares the Russian leader’s vision of rebuilding a strong state, and has also worked with Mr Putin’s top technocrats who want greater innovation and are open to new ideas.

The announcement came amid Russia’s renewed armoured push across the border in northeastern Ukraine, with thousands reported to have fled their homes in the Kharkiv region.

Grant Shapps, the UK defence secretary, said Mr Shoigu’s replacement would like be “another of Putin’s puppets”.

Writing on X, he said: “Sergei Shoigu has overseen over 355k casualties amongst his own soldiers & mass civilian suffering with an illegal campaign in Ukraine. Russia needs a Defence Minister who would undo that disastrous legacy & end the invasion – but all they’ll get is another of Putin’s puppets.”

Mr Shoigu, defence minister since 2012, is set to become secretary of Russia’s national security council.

The reshuffle of the military command is the most significant Mr Putin has undertaken since his full-scale invasion of Ukraine began in February 2022.

Kremlin spokesperson Dmitry Peskov said the change made sense because Russia was approaching a situation like the Soviet Union in the mid-1980s, when the military and law enforcement authorities accounted for 7.4 per cent of gross domestic product (GDP).

That, said Mr Peskov, meant it was vital to ensure such spending aligned with and was better integrated into the country’s overall economy, which was why Mr Putin now wanted a civilian economist in the defence ministry job.

“The one who is more open to innovations is the one who will be victorious on the battlefield,” Mr Peskov said.

Russia’s economists have so far largely ensured economic stability and growth despite the toughest sanctions ever imposed on a major economy, even though the failings of the Russian military were laid bare shortly after the invasion.

Mr Putin’s move, though unexpected, preserves balance at the top of the complex system of personal loyalties that make up the current political system.

The shake-up gives Mr Shoigu a job that is technically regarded as senior to his defence ministry role, ensuring continuity and saving Mr Shoigu’s face. Valery Gerasimov, the chief of Russia’s General Staff and someone with a more hands-on role when it comes to directing the war, will remain in post.