All Russian government staff to face 10% pay cut.

Russian President Vladimir Putin announced Friday he would take a 10% pay cut, as the country’s economy has been projected to go into deep recession this year.

The decision, effective March 1 through Dec. 31, will affect other government workers including Prime Minister Dmitry Medvedev. The cost cutting exercise has become necessary across Russia due to the current low oil prices and sanctions put in place by Europe and the U.S. over the countries actions towards Ukraine.

GDP in Russia is expected to shrink by 5% this year with inflation soaring and living standards dropping. The ruble has crashed in the last 6 months, losing 40% against the dollar.

A 10 percent pay cut for most Russians would have harsh consequences but Putin should be able to weather the storm with rumours saying his net worth could be as high as $200 billion – making him the richest man in the world.

“Frankly, I don’t even know my own salary – they just give it to me, and I put it away in my account,” Putin told members of the press during his annual Q&A session in December.

Putin listed his salary in 2013 as 3.6 million rubles ($59,800) with current conversion rates. His wage was certainly quite modest in 2013 in comparison to other world leaders such as President Barack Obama who makes $400,000 a year and German Chancellor Angela Merkel brings home $240,000 per year.

Officially, he owns two apartments, two cars, a garage, a caravan, and a piece of land. It is believed his wealth is spread out through secret bank accounts, front men and shell companies, making a valuation of his net worth impossible.

Putin’s real net worth remains a mystery however a lot of critics believe that all the money Russia has made hasn’t been re-invested into the country and is being kept elsewhere.