Business · Economy · 15 hrs ago
Russian billionaire warns the economy could fall further as growth slows
Vladimir Potanin, one of Russia’s richest people and the main shareholder of mining company Norilsk Nickel, says the economy could still worsen.
He made the comments in an interview with RBC TV on October 10.
Russia’s economy is forecast to grow by just 0.6% this year, while the budget deficit is expected to rise.
The government is spending heavily on the war in Ukraine and raising taxes to help fund it.
Norilsk Nickel may face a tax of up to 30% on profits above its usual level from 2027 to 2029.
Potanin says the extra tax could discourage investment, which he sees as essential for growth.
His criticism reflects growing tension between major businesses and the government after companies had supported tax changes in 2024 on the understanding they would remain stable until 2030.
Vladimir Potanin said Russia’s economy could fall further and that it was too soon to say it had reached its lowest point.
He said the main challenge was restoring investment.
Russia’s Economy Ministry expects growth of 0.6% this year, while the budget deficit is expected to widen.
Potanin said an exceptional tax on his company’s excess profits could discourage investment and weaken growth.
He acknowledged the need for an additional tax burden but said it should apply only to profits.
- Who
- Vladimir Potanin, Russia’s third-richest person and principal shareholder of MMC Norilsk Nickel.
- What
- He warned that Russia’s economy could fall further and said restoring investment was a key challenge.
- When
- He spoke in an interview on Saturday, October 10. The article was published on October 11, 2026.
- Where
- The interview was with RBC TV.
- Why
- The article links the economic strain to the budget deficit, which is being widened by the war in Ukraine, and to taxes and other charges.
Vladimir Potanin
Russian government
Tax policy
Vladimir Potanin
Potanin said the additional burden should be levied exclusively on profits and warned that the planned tax could hurt investment.
Russian government
The government is imposing an exceptional tax on excess profits as it seeks to balance the budget.
We cannot yet say that we have reached the bottom.
We understand the need for an additional tax burden. But this burden should be levied exclusively on profits.
Major industrial companies supported tax reforms on the understanding that they would remain stable until 2030.
Potanin told RBC TV that Russia’s economy could fall further and that restoring investment was a key challenge.
Russia’s Economy Ministry expected growth to be capped at 0.6% for the year.
Potanin’s company is due to pay an exceptional tax of up to 30% on excess profits.
- Potanin
- Russia’s third-richest person
- Company
- MMC Norilsk Nickel, the country’s largest mining group
- Growth forecast
- 0.6% this year
- Exceptional tax
- Up to 30% of excess profits
- Tax period
- 2027–2029
- Potanin’s wealth
- $22 billion, according to the Bloomberg Billionaires Index
Sources
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