Vladimir Putin's rise to power shocked the world on the last day of 1999

On December 30, 2024, Russian President Vladimir Putin made a significant move by signing a decree. This decree involved transferring the shares of the foreign brewing company AB InBev Efes Russia to the temporary management of a Russian conglomerate known as the Vmeste group of companies. This action underscores the continuing trend of consolidating control over foreign businesses within Russia, especially in industries deemed strategic or vital to national interests. The decision comes amidst mounting tensions and economic challenges faced by Russia, largely owing to international sanctions and the ongoing conflict in Ukraine. The brewing company AB InBev Efes, which operates in the Russian market, had been impacted by the geopolitical situation, prompting the Russian government to assert greater control over such entities. This control is aimed at stabilizing the market and ensuring continued operations domestically. Putin's government has increasingly targeted foreign firms in recent years, particularly in the context of its military engagement in Ukraine since 2022, which included full-scale invasions and ongoing sanctions by Western nations. The transfer of management to the Vmeste group may reflect the government's strategy to bolster Russian firms while mitigating the risks associated with reliance on foreign companies. By doing so, the government aims to secure essential supplies, such as food and beverages, for the local population amid uncertainties in international trade. This trend is indicative of a broader push toward economic independence and the reshaping of the Russian economy to reduce foreign influence. In this context, the brewing industry, along with other sectors, is likely to see a revamped regulatory environment. The temporary management transfer may also serve as a trial run for future nationalizations of foreign assets as the Russian government adapts to its new economic realities. This situation represents both a challenge and an opportunity for Russian businesses as they navigate a landscape where governmental control becomes more pronounced, raising questions about the future of the economy and foreign investment in Russia.