Russia’s budget deficit widens to $34.4 billion after late spending spree
2025.01.20 13:50
(Reuters) – Russia recorded a budget deficit of more than 3 trillion roubles for the third year running in 2024, the finance ministry said on Monday, with both spending and revenue rising sharply compared with 2023 as Moscow ploughed economic resources into the war in Ukraine.
According to the ministry’s preliminary estimate, the overall deficit stood at 3.49 trillion roubles ($34.39 billion), with total revenues increasing 26% year on year to 36.71 trillion roubles and spending climbing by 24.2% to 40.19 trillion roubles.
The shortfall narrowed as a percentage of gross domestic product to 1.7% from 1.9% in 2023, the data showed.
Moscow expects spending this year to increase to 41.47 trillion roubles, of which 41% will be spent on the army, police and secret services. Rising tax revenues are seen narrowing the fiscal deficit to 0.5% of GDP.
($1 = 101.4955 roubles)
