Russian State Bank Fires Chief Economist Over War Critique

Andrey Klepach, a senior Russian economist, has been removed from his position as chief economist at the state development bank VEB after delivering a speech that warned the country’s economy was being damaged by the war in Ukraine and could not win a prolonged conflict. The dismissal, confirmed by VEB and state news agency TASS on August 17, 2026, came just days after excerpts from his remarks were published.

Klepach made the comments in a May speech to the Nikitsky Club, a forum of economists and academics, which was reported by Russian media outlets last week. According to reports, he stated that Russia is losing both technological and economic competition globally, falling behind not only the West but also, in some ways, Ukraine, due to Western financial support for Kyiv. He asserted that Russia will not win the competition in the current war of attrition, dismissing the notion that Ukraine’s defenses will collapse. Klepach further warned that the combination of Ukrainian strikes on Russian infrastructure, Western sanctions, and high domestic interest rates was constraining growth and predicted the country was heading toward a social crisis.