Russia’s Budget Deficit Rises to $51.9 Billion Amid Increased Spending
Finance Ministry Reports Sharp Rise in Deficit
MOSCOW / ISTANBUL — Russia’s budget deficit reached 4.2 trillion rubles (approximately $51.9 billion) in the first ten months of 2025, driven by rising government spending, the Finance Ministry said Tuesday.
According to official data, the deficit is $53.1 billion higher than in the same period last year, reflecting growing fiscal pressure on the economy.
Revenues Grow Slightly as Spending Surges
Russia’s budget revenues increased by 0.8% year-on-year, reaching $369.3 billion, while expenditures rose sharply by 15.4% to $421.2 billion, the ministry reported.
The statement added that non-oil and gas revenues totaled $276.7 billion, whereas oil and natural gas revenues amounted to $92.6 billion.
Deficit-to-GDP Ratio Expected to Widen
The Finance Ministry noted that the budget deficit-to-GDP ratio currently stands at 1.6%, but it is projected to rise to 2.6% by the end of 2025.
Officials attribute the growing deficit primarily to increased defense spending, which has surged since the start of the Ukraine conflict in early 2022.
Energy Sanctions Deepen Fiscal Pressure
Sanctions targeting Russia’s energy sector have also weakened the country’s revenue streams by restricting access to European oil and gas markets.
Despite efforts to redirect exports toward Asia, the loss of European buyers continues to weigh heavily on Russia’s finances.
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