Andrei Belousov has been proposed for the post of head of the Ministry of Defense
Russian President Vladimir Putin proposed appointing Andrei Belousov, who held the post of First Deputy Prime Minister until May 7, 2024, as Minister of Defense of the Russian Federation. Sergei Shoigu, who headed the Defense Ministry for almost 12 years, was appointed secretary of the Security Council of the Russian Federation instead of Nikolai Patrushev. For more information about candidates for the positions of heads of law enforcement agencies, see the Izvestia article.
Andrei Belousov's candidacy for the post of Minister of Defense: what is known
On Sunday, May 12, Russian President Vladimir Putin proposed to appoint Andrei Belousov as Minister of Defense of the Russian Federation.
Kremlin spokesman Dmitry Peskov explained in a comment to reporters that "on the battlefield today, the winner is the one who is more open to innovation" and the introduction of advanced ideas.
The press secretary of the president noted that the budget of the Ministry of Defense and the security sector, until recently, was about 3%, and most recently it has grown to 6.7%.
"This, together with all law enforcement agencies, among which the Ministry of Defense, of course, occupies key positions, since it is the Ministry of Defense that is responsible for placing all orders in the industry. This is not a critical figure yet, but we are gradually approaching, for well-known reasons, due to well-known geopolitical circumstances around us, the situation in the mid-80s, when the share of spending on the power unit in the economy was 7.4%. I repeat, this is not critical, but it is extremely important, and it requires special treatment. It is very important to integrate the economy of the power unit into the economy of the country. Enter it so that it corresponds to the dynamics of the current moment," he concluded.
Peskov also recalled that the military component has always been the prerogative of the Chief of the General Staff.
"He (Chief of the General Staff of the Russian Armed Forces Valery Gerasimov. — Ed.) will continue its activities, no changes are currently envisaged in this regard," the Kremlin representative added.
What is known about Shoigu's appointment as Secretary of the Security Council
Sergei Shoigu, who has headed the military department since 2012, has already been appointed Secretary of the Russian Security Council by presidential decree. Peskov said that in this position he will oversee the work of the Federal Service for Military-Technical Cooperation (FS VTS), and will also become deputy Russian leader in the commission on the military-industrial complex.
"He is deeply immersed in this work, he knows perfectly well the pace of production of military-industrial products for specific enterprises, he often visits these enterprises," Peskov said.
As for Nikolai Patrushev, who previously held the post of secretary of the Security Council of the Russian Federation, he has moved to another job, his appointment will be announced in the coming days, Peskov added.
Candidates for the post of heads of the FSB, Interior Ministry and SVR
Vladimir Putin proposed retaining the posts of heads of the Federal Security Service, the Ministry of Internal Affairs, the Foreign Intelligence Service, the Ministry of Emergency Situations and a number of other law enforcement agencies for the former heads.
Vladimir Kolokoltsev has been proposed for the post of Minister of Internal Affairs, Alexander Kurenkov for the post of Minister of Civil Defense, Emergencies and Disaster Relief, Sergei Naryshkin for the post of Director of the Foreign Intelligence Service, and Alexander Bortnikov for the post of head of the Federal Security Service.
Biography of Andrey Belousov
Andrei Belousov, whose candidacy was proposed for the post of head of the Ministry of Defense, held the post of assistant to the president until May 12. He is one of the most effective managers, the author of the Digital Economy program. While working in the presidential administration, he oversaw issues related to technology and import substitution. A hereditary economist, his father was involved in the development of economic reforms in the 1960s.
In the Cabinet of Dmitry Medvedev, Belousov was the Russian governor of the European Bank for Reconstruction and Development. And in 2015 and 2017, he headed the Board of Directors of Rosneft.
Belousov was born on March 17, 1959, and graduated with honors from the Faculty of Economics of Moscow State University in 1981. By profession — "economist-cyberneticist".
From 1981 to 1986 he worked at the Central Economic and Mathematical Institute of the USSR Academy of Sciences.
From 1986 to 2006, he was an employee of the Institute of Economics and Forecasting of Scientific and Technological Progress of the USSR Academy of Sciences/Institute of National Economic Forecasting of the Russian Academy of Sciences.
Also in 2000, he became a freelance adviser to the Prime Minister and headed the Center for Macroeconomic Analysis and Short-term Forecasting. He combined these positions until 2006.
From 2006 to 2008, Andrei Belousov served as Deputy Minister of Economic Development and Trade, and from 2008 to 2012 — as Director of the Department of Economics and Finance of the Government.
In 2012-2013, he was the Minister of Economic Development.
From 2013 to 2020, Andrei Belousov served as an assistant to the president, and in 2020 he was appointed first Deputy Prime Minister.
What is known about the Russian military-industrial complex in 2024
Conducting large-scale military campaigns always leads to an increase in the share of military expenditures in the State budget. A special military operation has made adjustments to the main financial document.
In October 2022, the State Duma adopted the draft federal budget for 2023-2025. After the start of the SVO, adjustments were made to it. Expenditures under the "National Defense" section in 2024 amounted to 10.77 trillion rubles, or 6% of the country's GDP. However, it is planned that in 2025 they will be slightly reduced to 8.53 trillion (4.5%) of GDP, and by 2026 they will amount to 3.7% of GDP.
Of course, not all money is spent on the production and purchase of weapons, significant funds are spent on the maintenance of the army itself (purchase of fuel, medicines, food, etc.), as well as on sharply increased social payments to military personnel.
Under these conditions, Ilya Kramnik, a researcher at the Center for North American Studies of the IMEMO RAS, notes that the most important task is to optimize the use of funds.
"Even before the start of its development, a significant part of mechanical engineering had a military application. The share of the defense industry has increased dramatically along with the growth in the production of weapons and military equipment, including using foreign components. The designated 10.77 trillion is almost a third of the federal budget revenues, which is a huge amount. None of the Ministries has such sums at their disposal. In this regard, the priority task is to increase the financial efficiency of the defense department. The first task, I think, will be to conduct an audit in order to optimize costs. Without this audit, it is difficult to talk about some kind of long-term planning," the expert explained.
During his speech on February 2, 2024, Vladimir Putin noted that during the special military operation (SVO), the Russian defense industry made a real breakthrough and labor feat, showed itself worthy of great ancestors. According to him, production volumes in the defense industry are constantly growing, the employees of the enterprises fulfilled the order of the Motherland and did not let the fighters down. It should be noted that at least 3 million people, or about 2% of the country's population, work in the Russian military-industrial complex.
