Panicked Russian Elites Pull Record-Breaking Sums Out of the Country

Putin and Nabiullina Are Staring Down the Final Fail-Safe

Russia’s war economy just hit a two-year low in oil revenue — the lifeblood of its state machine — as crude prices dropped and the ruble strengthened at exactly the wrong time. Under normal circumstances, Elvira Nabiullina, the Russian central bank chief, would have allowed the ruble to weaken to cushion the impact.

But she hasn’t.

And it’s not because she doesn’t want to — it’s because she can’t. The Central Bank’s own data shows that Russian households transferred a record $650 million to foreign brokers in May. That’s far above the previous highs of $580 million in December 2023 and $540 million in October 2022.

While $650 million isn’t catastrophic on its own, it’s the largest monthly capital outflow since early 2022. It signals rising anxiety, particularly among the middle and upper classes. Kremlin officials care less about the absolute number than the direction of travel. If $650 million leaves this month, $1 billion might leave the next — especially if the ruble shows signs of weakening and people rush to protect their savings.

That’s why the Central Bank is holding the line. Ruble strength is now a pre-emptive containment…