Russia Finance Officials Tell Putin War Spending Is Unaffordable
Officials said the first four months brought a 5.9 trillion ruble deficit, as defense spending and depleted reserves strain public finances.
- High-Ranking Russian government officials warned President Vladimir Putin that war spending has reached an unsustainable level, marking the most significant sign of internal division in Moscow leadership since the full-scale invasion began.
- Finance Ministry and Central Bank officials proposed defense spending cuts to stabilize finances, but the Defense Ministry is resisting, demanding additional funding to cover a shortfall that could reach three trillion rubles this year.
- Official data shows the state budget deficit for the first four months of the year rose to 5.9 trillion rubles, or 2.5% of GDP, approximately 50% higher than the annual target.
- Finance Minister Anton Siluanov stressed that "a certain restraint" is needed in public expenditure, as Russia's National Wellbeing Fund reserves are approximately 60% lower than before the full-scale invasion.
- The Economy Ministry downgraded its 2026 growth forecast to 0.4% due to recession risks, leaving the final decision on budget cuts solely to Putin, who acts as the ultimate arbiter.
15 Articles
15 Articles
Officials from the Ministry of Finance and the Central Bank of Russia have warned the Kremlin that the current level of projected spending on the war against Ukraine threatens a dangerous increase in the state budget deficit.
The Russian war machine risks jamming not on the battlefield, but under the weight of its budgets. High officials of the Russian Treasury and Central Bank have...
Putin's war becomes priceless: record budget hole, economy on the verge of recession. Finance ministers warn of collapse.
High-ranking officials from the Ministry of Finance and the Central Bank of Russia warned Vladimir Putin that the current level of defence spending led to a dangerous increase in the budget deficit, wrote with reference to Bloomberg's sources. Material is available by subscription and was recited by The Bell.
Russian Financial Officials Warn Putin That War Spending Has Reached Unsustainable Levels
High-ranking officials in the Russian government have warned leader Vladimir Putin that the country’s spending on Russia’s full-scale invasion of Ukraine is reaching an unsustainable level. This internal warning represents the most significant sign of friction within the Moscow leadership since the start of the war, according to Bloomberg on June 1. We bring you stories from the ground. Your support keeps our team in the field. DONATE NOW Sourc…
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- 56% of the sources lean Left
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