Yves here. Although some readers have raised concerns about the specifics in John Ruehl’s posts, he consistently tackles engaging topics that stimulate meaningful discussions among his audience. Today, he explores the rise of oligarch-like influences in the United States, which he refers to as the “businessman-politician” phenomenon.
By John P. Ruehl, an Australian-American journalist residing in Washington, D.C., and a world affairs correspondent for the Independent Media Institute. He contributes to various foreign affairs publications, and his recent book, Budget Superpower: How Russia Challenges the West With an Economy Smaller Than Texas’, was published in December 2022. Follow him on X @john_ruehl. Produced by Economy for All, a project of the Independent Media Institute
In a striking incident, billionaire US Ambassador Tilman J. Fertitta faced protests while his superyacht, Boardwalk, docked in Venice during the “Freedom 250 Coastal Diplomacy Italy initiative” in July. He was there to connect with local business leaders, celebrities, and citizens, as reported by CNN. This event highlights the increasing prevalence of wealthy business figures in political roles.
Fertitta is joined by other billionaire ambassadors in the UK, Turkey, France and Monaco, and the Organization of American States. Middle East special envoy Steve Witkoff and adviser Jared Kushner are also billionaires, alongside other top officials like Trump’s secretaries of commerce, education, and interior, as well as the head of NASA.
The Trump administration features 57 cabinet members and senior officials with net worths exceeding $100 million, as reported by El País. An informal integration of billionaires into diplomacy was evident during Trump’s May 2026 visit to China, where over a dozen CEOs and senior executives, including notable figures such as Larry Fink of BlackRock and Elon Musk of Tesla, were part of the US delegation.
Business leaders have traditionally held prominent roles in local American politics. A 2021 study by political scientist Patricia A. Kirkland, examining over 3,200 mayors across 263 cities, revealed that nearly a third of these mayors had prior business ownership or executive experience, making this the most common professional background. However, Trump’s second term has accelerated the influx of ultrawealthy individuals into government, driven by the belief that their business acumen can outperform traditional politicians reliant on external funding.
The rise of billionaire politicians taps into a broader anti-establishment sentiment, coinciding with the reduction of the permanent bureaucracy under the DOGE initiative, promoting political appointees and external advisers.
This phenomenon is neither a new development in America nor limited to US borders. A 2023 study published in Perspectives on Politics reveals that more than 11 percent of the world’s billionaires have sought or held political office, indicating a global trend reshaping international relations.
The Rise and Return of the Politician-Businessman
Historically, businessmen were among many professions that engaged in politics during America’s early years, alongside lawyers, landowners, veterans, and merchants. However, industrialization enabled some to amass vast fortunes, allowing them to purchase political power unlike their European counterparts bound by aristocracy.
By the early 20th century, many businessmen had infiltrated Washington circles; banking magnate Andrew Mellon became Treasury Secretary in 1921, while banker Jesse H. Jones later chaired the Reconstruction Finance Corporation and served as commerce secretary. During World War II, numerous executives entered government roles as “dollar-a-year-men” to oversee war efforts, including General Motors president William S. Knudsen.
After WWII, however, their political influence waned as military veterans began to dominate offices. A 1956 Time article highlighted businessmen’s diminishing role, with complaints about “the same old warhorses” retaining power in both parties. Despite a slow decline, lawyers maintained significant influence, constituting 60 percent of Congress in 1960, while various staffers, campaign officials, and career bureaucrats formed a new political class.
Yet by the end of the 20th century, billionaires began pushing the limits of how far their wealth could extend into politics. Ross Perot’s presidential bids in 1992 and 1996 demonstrated that personal wealth could facilitate a national presence, paving the way for Trump’s initial run in 2000. Michael Bloomberg’s successful tenure as New York City mayor from 2002 to 2013 demonstrated the GOP’s embrace of this model, further seen in Bill Haslam’s governorship in Tennessee from 2011 to 2019.
Trump’s victory in 2016 accelerated the trend. Appointing ExxonMobil CEO Rex Tillerson as secretary of state in 2017 signaled the perception of corporate experience as a valuable asset, while billionaire businessman Robert Johnson was named ambassador to the UK.
Democrats have also adopted the billionaire-politician paradigm. Mark Dayton served as Minnesota senator in 2001 and later as governor from 2011 to 2019. Bloomberg (now a Democrat) and Tom Steyer both pursued the presidential nomination in 2020, while J.B. Pritzker has been Illinois’ governor since 2019.
The merging of business and political entities has significantly impacted geopolitics. Major firms in technology, finance, energy, and defense, ideally positioned near the White House, influence global infrastructure and supply chains essential for foreign governments. For instance, Elon Musk’s Starlink has become crucial to Ukraine’s war efforts.
The Trump administration’s acquisition of stake in numerous private companies has further intertwined corporate interests with US policy, raising concerns about how this merger of business and government might alter diplomatic relations abroad as other countries also engage their own wealthy political figures.
Adversarial Adoption
The increasing visibility of the business-politician hybrid in America can be contrasted with its principal rivals, China and Russia. In China, the political-business class has enhanced its direct engagement with American officials, highlighted by a delegation from 22 Chinese companies visiting the United States in July.
The role of entrepreneurs in Chinese politics is relatively novel. After decades of stifling private capital, reforms initiated in the late 1970s began fostering collaboration with business interests. Researcher Sara Tomczuk notes that the inclusion of large numbers of entrepreneurs into the Communist Party during the 1980s marked a shift away from strict Communist ideology and a move towards a market economy. The “three represents” campaign in 2000 formally acknowledged private entrepreneurs within China’s political framework.
Currently, over a third of Chinese billionaires have held or sought political office, many serving as delegates to the National People’s Congress (NPC). Notable individuals include Tencent CEO Ma Huateng, who served as a deputy for two terms starting in 2013, and Xiaomi’s Lei Jun, currently a deputy. In Chinese politics, the integration of billionaires signals loyalty while offering access and protection, although infringements can lead to severe repercussions, as with Jack Ma’s disappearance following criticism of China’s financial system in 2020, as noted by NPR.
Nevertheless, this overlap between business and politics has created a new communications pathway between China and the United States, with business leaders encountering one another through political connections, establishing critical channels for discussions. The Chinese consul general in New York celebrated a “natural consensus” among business communities during June.
In Russia, the situation for the ultrawealthy diverges markedly. The dissolution of the Soviet Union allowed oligarchs to amass substantial fortunes through privatization, with some securing political roles, such as former deputy security council secretary Boris Berezovsky and former deputy prime minister Vladimir Potanin. Many engaged in financial transactions with Western capital.
About one in five Russian billionaires has sought or held political office, as reported by Good Authority, but the rise of Putin in 2000 gradually diminished their political influence. Some were imprisoned or exiled, while others retained their wealth by accepting a subordinate role under the Kremlin. This shift has resulted in a “general decline in influence among oligarchs in favor of bureaucratic officials,” according to the George C. Marshall European Center for Security Studies.
The mysterious deaths of numerous oligarchs since the onset of the Ukraine War illustrate their heightened vulnerability, yet they remain entrenched in politics as figures like Suleyman Kerimov, Mikhail Prokhorov, and Andrey Guryev play essential roles in sustaining the Russian political landscape.
Diplomatic ties also reflect the business-political overlap, as evidenced by a 2017 meeting between Russian and US business leaders, an attempt to harness these connections prior to the deterioration of relations following the Ukraine war. Nonetheless, such connections serve as informal backchannels; US envoys Steve Witkoff and Jared Kushner engaged with Putin’s envoy on foreign investment, Kirill Dmitriev, in Paris to discuss peace strategies relating to the Ukraine conflict and reconvened in Florida in March to cover multiple topics, including Russian oil.
Figures like Russian billionaire Roman Abramovich continue to serve as informal state mediators, as he traveled to Kyiv in May to convey messages between Putin and Ukrainian President Volodymyr Zelenskyy.
The New Political Order
The trend of merging business and political interests is increasingly global, transcending major power dynamics. Several post-communist countries have also seen wealthy businessmen penetrate weakened political systems due to flawed democratic governance.
Notable examples include Georgia’s Bidzina Ivanishvili, who became Prime Minister in 2012 and is still seen as the de facto leader through his Georgian Dream party. The Biden administration sanctioned him in 2024; however, a Trump Tower planned for Tbilisi is developing on land owned by his son, illustrating how business connections can circumvent political obstacles.
Similar paths to power for ultrawealthy businessmen have emerged in Moldova and Ukraine, but European Union efforts since 2022 have aimed to weaken their influence through “de-oligarchization.” In general, Western Europe remains cautious about allowing billionaires direct political power, with Italy’s Silvio Berlusconi being a notable exception, serving as Prime Minister during three non-consecutive terms from 1994 to 2011. His controversial dominance has contributed to ongoing skepticism, exemplified by the discontent surrounding Fertitta’s visit to Venice and broader concerns regarding Trump.
Nonetheless, wealthy businessmen are deeply entrenched in the political systems of former Eastern Bloc countries. In Bulgaria, Delyan Peevski leads the Movement for Rights and Freedoms party and has publicly supported Trump. Similarly, former Czech Prime Minister Andrej Babis provides opportunities for the Trump administration to engage with figures less hampered by EU regulations.
As the Trump administration strives to expand US influence in the Western Hemisphere, Latin America may present the most critical region for fostering ties with businessman-politicians. Historically welcoming to this trend, businessmen rose to the presidency during the 2010s in places like Chile and Panama. Most recently, Daniel Noboa became president of Ecuador in 2023, and Nayib Bukele was reelected in El Salvador in 2024. Both leaders have since collaborated closely with the Trump administration, with business relationships playing critical roles.
Even when not holding office, Mexico’s billionaires have proved advantageous to Washington. For instance, Ricardo Salinas Pliego has maintained ties with Trump since his first term, leveraging his business and media networks to challenge President Claudia Sheinbaum amid disputes with Trump.
Globalization has fostered the rise of an international capital class, and the businessman-politician framework has gained new momentum in the United States. Some regions, such as Western Europe and the Gulf monarchies, resist this trend, but its presence is increasingly felt globally. It appears that this model of governance could be more than just a fleeting political moment.
As governments and societies grapple with these changes, they must recognize the implications. The convergence of business and political interests means that commercial entities can find themselves targeted in geopolitical confrontations. Ukraine has struck at Russia’s Wildberries centers, the largest online retailer in Russia, while Iranian attacks on Amazon data centers demonstrate how business entities can become embroiled in geopolitical conflicts. Moreover, political systems that heavily rely on wealthy individuals are at risk of instability if those alliances falter. As business interactions evolve into a primary means for states to communicate, negotiate, and compete in the 21st century, the distinction between economic and political power continues to blur, highlighting the growing influence of a select few affluent individuals over governmental actions and international relations.
