Russia raises 2027 military spending by 27%, budget documents show
The draft budget would make defense the largest spending item as Moscow shifts more money from education, healthcare and welfare to the war effort.
- On Monday, Russian government documents revealed a plan to spend 17.1 trillion rubles on defense in 2027, a 27% increase from the 13.5 trillion rubles originally budgeted, marking the highest military expenditure since the 2022 invasion.
- Total defense spending will reach 50 trillion rubles over the next three years, reflecting sustained economic pivot toward military production that ensures defense outlays remain the primary driver of state fiscal policy through 2027.
- Officials doubled the 2026 deficit forecast to 3.2% of GDP, while new windfall taxes on metals and mining are expected to generate 200 billion rubles annually to help cover rising war costs.
- Social programs, education, and healthcare face significant funding cuts in 2027, with Reuters reporting that anti-cancer programs face a 97% reduction, demonstrating the state's prioritization of wartime operations over domestic civilian needs.
- Ukrainian intelligence reports indicate Russia is preparing to mobilize 300,000 personnel annually in 2026 and 2027, suggesting the Kremlin anticipates remaining at war with Ukraine for the foreseeable future.
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229 Articles
Russia cuts welfare, education and healthcare budget as war spending hits new high
Russia's financial burden is not limited to military spending. The government is also spending more on servicing its debt as high interest rates increase borrowing costs. Debt-servicing costs in 2027 are expected to be 21.6% higher than originally planned. They are projected to account for 9.4% of total government spending next year and could rise further to 10.6% by 2029.
Moscow intends to spend some $592 billion on defence over the next three years, which experts attribute to its desire to win Ukraine away from the pressures of war on Russian citizens.
Russia plans to significantly increase its military budget in 2027, while reducing social spending and raising taxes.
Russia’s budget for defense to increase, social welfare to fall
Russia plans to sharply increase defense spending, cut funding for education and raise taxes next year as costs mount in its war with Ukraine, draft budget documents showed.The plans have been submitted to Russia’s lower house of parliament for approval.The government plans to spend a record 17.1 tr
Russia plans to increase defense spending to a record high since the collapse of the Soviet Union, while cutting civilian programs and raising taxes. This shows that the Kremlin is preparing for a prolonged war in Ukraine. The draft budget for 2027 foresees 17.1 trillion rubles (about $205.2 billion) for defense, 26 percent more than the amount previously planned for that year and 375 percent more than the pre-war level in 2021. Defense spending…
Russia prepares for 2027 a budget dominated by record military spending, while social funds decline, taxes increase, and debt increases.
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