The Rise of the Oligarchs

1
The Rise of the Oligarchs
The most well-known example of businesspolitics
interaction was established in Russia during the
Yeltsin presidency. Then, a handful of bankers
and industrialists supporting Boris Yeltsins
bid for re-election, gained in exchange for their
material help direct access to the design of key
economic reforms, especially privatization. S.
Hedlund, Russias Market Economy. A Bad Case of
Predatory Capitalism (London UCL Press, 1999)
and H. Schrode, Eltsin and the Oligarchs the
Role of Financial Groups in Russian Politics
between 1993 and July 1998, EuropeAsia Studies,
Vol.51, No.6 (1999), pp.95788.
2
The example of Ukraine

• The emergence of an oligarchy in Ukraine is the
  product of the degeneration of the political
  regime towards authoritarianism and the nature of
  the economic transition.
• Economic reforms were slow and uncertain.
• Political reforms strengthened the presidency and
  the presidential administration. Extraordinary
  powers were granted to President Leonid Kuchma -
  but they did not produce a coherent economic
  transformation.

3
Leonid
4
The Inner Circle

• It has been estimated that in the months
  following Kuchmas election in 1994, something
  like 206 apparatchiki moved from Dnipropetrovsk
  to Kyiv to occupy key positions in the state
  administration and control the process of
  resource allocation. The core of the clan was
  composed of some 200 individuals, among whom were
  figures like the future Prime Minister Valeryi
  Pustoyvotenko, Volodymyr Horbulin, secretary of
  the National Security and Defence Council, and
  Serhiy Tyhypko (...)

5
Serhii Tyhypko

• // 12.02.2010
  Election bronze prize winner
  
• Tyhypko ready to
  become Prime Minister
• under President Yanukovych
• MIGnews.com.ua
• Serhii Tyhypko, the leader of the Strong Ukraine
  (Sylna Ukrayina) party, who ranked number three
  in the 17 January presidential election, is ready
  to become Prime Minister if President Victor
  Yanukovych brings forward such a proposal to him,
  Ukrainian News reports. Serhii Tyhypko told about
  that in an interview with the Segodnya newspaper.
• "Yes. I would not lay down any special
  conditions, but only give me the opportunity to
  put reforms into practice,
• http//en.wikipedia.org/wiki/Azarov_Government

6
The Economic Connection

• The example of Kryvorizhstal
• Privatization in June 2004 for 800 Mio to a
  consortium called Investment-Metallurgical Union.
  This consortium was made up of Rinat Achmetov
  (SCM-group) and the Interpipe Group (Viktor
  Pinchuk, son-in-law of Leonid Kuchma) under
  Yushchenko, the company was re-selled to the
  Indian (Arcelor)Mittal-Steel Group.
• http//ukrainianguide.com/5-wealthiest-ukrainian-o
  ligarchs/3/

7
Oligarchen komparativ

• During the dissolution of the Soviet Union,
  certain well-placed individuals were able to
  leverage their knowledge and connections to
  control a large share of the industrial and
  natural ressources. These people came to be known
  as oligarchs.
• Current and past Ukrainian oligarchs include
• Rinat Akhmetov (Donetsk)
• Ihor Kolomoiskyi (Dnipropetrovsk)
• Viktor Medvedchuk (Kyiv)
• Viktor Pinchuk (Dnipropetrovsk)
• Hryhorii Surkis (Kyiv)
• Serhii Tihipko (Dnipropetrovsk)
• Yulia Tymoshenko
• Oleksandr Volkov

8
Oligarchen komparativ

• During the dissolution of the Soviet Union,
  certain well-placed individuals were able to
  leverage their knowledge and connections to
  control a large share of the industrial and
  natural ressources. These people came to be known
  as oligarchs.
• Current and past Ukrainian oligarchs include
• Rinat Akhmetov (Donetsk)
• Ihor Kolomoiskyi (Dnipropetrovsk)
• Viktor Medvedchuk (Kyiv)
• Viktor Pinchuk (Dnipropetrovsk)
• Hryhorii Surkis (Kyiv)
• Serhii Tihipko (Dnipropetrovsk)
• Yulia Tymoshenko
• Oleksandr Volkov

9
Oligarchen komparativ

• The Ukrainian oligarchs are comparable to their
  better-known Russian oligarch counterparts
• Boris Berezovsky
• Anatoly Chubais
• Vladimir Gusinsky
• Mikhail Khodorkovsky
• Yuri Luzhkov
• Boris Berezovsky in particular was linked to
  significant investments in Ukraine.
• The Russian oligarchs are being superseded by
  "siloviki" (strongmen) linked to the former KGB.
• David Hoffman (2002) "The Oligarchs" Public
  Affairs Perseus

10
Lage der Nation

• http//www.drs2.ch/www/de/drs2/sendungen/rendez-vo
  us/de/drs2/sendungen/rendez-vous/2753.bt10160262.h
  tml
• http//www.tymoshenko.ua/en/article/yulia_tymoshen
  ko_holodomor

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Staatswirtschaft I

• Das Beispiel Energie / Russland
• Yukos
• Gazprom
• http//www.nytimes.com/2007/04/04/business/worldbu
  siness/04iht-yukos.4.5148561.html
• http//www.wiwo.de/unternehmen-maerkte/gazprom-ode
  r-die-putin-ag-372182/

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Staatswirtschaft II

• Das Beispiel Energie / Russland Einfluss im
  Ausland
• Ukraine RosUkrEnergo
• Ungarn MOL
• Polen PKNOrlen
• Slowakei Slovtrans
• http//www.unian.net/eng/news/news-241453.html
• http//de.wikipedia.org/wiki/Russisch-ukrainischer
  _Gasstreit
• Anita Orban (2008) Power, Energy, and the New
  Russian Imperialism, Praeger

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Gasleitungen Europa
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Blue Stream
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South Stream/Nabucco