Moscow's wealthy stock up in crisis, stay close to home

Russian model Alisa Krylova canceled her order for the latest Mercedes, spent New Year in Moscow rather than skiing in the Alps and now employs Russian staff rather than foreigners.

The former Mrs Russia and Mrs Globe beauty pageant winner is among Russia's superrich, but even she and many other of her wealthy friends are feeling the pinch from the economic crisis.

Driven into a kind of hibernation, they are steering clear of celebrity parties and trimming spending to make up some of the millions lost to a weak rouble and a falling stock market.

But the enforced modesty has not yet driven the super-wealthy out of Russia or against President Vladimir Putin, who has fanned patriotism during the Ukraine crisis and appealed to businessmen to bring their money home to bolster Russia's position in the worst standoff with the West since the Cold War.

Perched on a golden sofa in the living room of her newly built apartment in Moscow, Krylova, 32, recoils at her compatriots who flocked to buy televisions, refrigerators and buckwheat - a popular staple - when the rouble plunged in December and shops had yet to change their prices to catch up.

Since Putin came to power in 2000, the former KGB spy has tamed the country's powerful businessmen, or oligarchs, who in the 1990s used their control over the Russian economy to influence politics and his predecessor, Boris Yeltsin.

After bringing some of what he calls Russia's 'national champions' in the energy sector back under state control, Putin made a deal with private owners of big business - be loyal and stay out of politics and you can keep your assets.

Luxury magazine director Alexei Koval said some businessmen had worked out an "evacuation plan" in case they fell out of favor.

"I think that the majority of businessmen who in some way may have something to fear have, a long time ago, prepared spare airfields and put in place plans for a quick emigration or, God forbid, evacuation of their family," said Koval, operating director at Citymagazine.

(China Daily 03/30/2015 page11)