The Treasury Reform and the Abolition of the Kormlenije System

Some of the most important Russian reforms of Government were instituted by Ivan IV. Ivan had built on the works of Ivan III and bound the Pommiestie-class even closer to the monarchy. He also created a separate Chamber of Finance directly at his disposal, which provided a certain efficiency in the in- and outflow of cash. The abolition of the Kormlenije-system, a payment system for the provincial administration where salaries were paid 'in natura' directly from the hands of the peasants, and the redressing of the provincial administration organization made the monarchy much more efficient and powerful. Unfortunately for Russia, these reforms were not enough to hold the State afloat after the costly and disastrous Livonian Wars at the end of Ivan IV's reign.