Alexei Kudrin's resignation scares investors

Russian Prime Minister Vladimir Putin decided to put one of his most trusted allies in charge of the economy on Tuesday and chose one of the low key finance ministers to answer questions about reforms. With this plan, the prime minister is trying to restore unity in anticipation of his plan to return to Kremlin.

Putin decided to sacrifice Alexei Kudrin, the former minister after President Dmitry Medvedev demanded his dismissal because the man was opposed to the plan of Putin and Medvedev swapping places in March. His departure gave cause of concern to the main investors who saw him as a pillar of stability and also a potential leader of reforms.

Putin chose Igor Shuvalov as the man to control the economic ministries and Anton Siluanov for the role of interim acting finance minister.

Talking about Soluanov, Putin said: "He is a good specialist, and his candidacy was obviously agreed with Dmitry Anatolyevich Medvedev. This is our joint decision."

However, Kudrin did little to make investors relax saying he chose to resign because of the financial risks the ministry was taking.

"Over the course of several months, despite my repeated objections, some made in public, decisions were taken in the sphere of budget policy that without doubt increased fiscal execution risks," Kudrin wrote in his resignation statement.

No one else chose to rebel against the government like Kudrin did, especially after Medvedev demanded his resignation publicly and thundered during a meeting: "Whoever disagrees with this can go and work elsewhere."

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