Background

The kremlin Is Losing Control: Officials and Lawmakers Have Begun to Defy putin

6/17/2026
singleNews

In russia, signs of a weakening of putin’s control over the vertical power structure he built are becoming increasingly apparent. Two recent incidents – a public disagreement with the central bank and sharp criticism from a state duma member – point to growing tensions within a system that has long presented itself as monolithic and stable.

putin stated that the authorities have grounds to further lower the key rate due to slowing inflation. According to rosstat, the annual inflation rate slowed to 5.31% in May from 5.58% a month earlier. However, central bank deputy governor aleksei zabotkin effectively refuted this assessment, emphasizing that data from a single month do not constitute a sustained trend. Moreover, inflationary pressure intensified again during the first week of June.

The central bank also points to additional risks to price stability. The growth in oil and gas revenues amid the escalating situation surrounding Iran has supported the ruble’s exchange rate, but this effect is temporary. At the same time, higher oil prices could accelerate inflation by driving up the cost of goods and logistics.

The war against Ukraine remains the key factor. Budget spending continues to rise rapidly: in the first four months of 2026, the federal budget spent 17.6 trillion rubles, which is by 40% more than the amount allocated for the entire year. Under these circumstances, the central bank is forced to maintain a tight monetary policy, effectively offsetting fiscal expansion with high interest rates. The result is a slowdown in economic activity in the civilian sectors.

Against this background, member of the state duma vyacheslav markhaev from the communist party of the rf (kprf) faction voiced extremely sharp criticism. In a statement addressing the war against Ukraine, he linked the demographic decline, the increase in attacks on russian cities, and numerous corruption scandals to “ineffective leadership”.   markhaev called for an end to high-profile forums, a cap on tariff increases, greater accountability for officials, and presentation of a public plan to end the war.

His speech was one of the sharpest public expressions of discontent from the once “pocket” opposition since the start of the full-scale invasion. The mp warned of the risk of social unrest and directly blamed the current government for the situation.

An additional indicator of trouble for the kremlin was VTsIOM’s decision to stop publishing putin’s approval ratings. Against the background of a deteriorating economic situation and a protracted war, russian authorities are increasingly opting for control over information rather than publicly explaining negative trends.