Overview
- Reuters-based calculations point to September energy revenues of about 592 billion rubles, with takings for the first nine months down 20.5% to 6.62 trillion rubles.
- Oil and gas income provides up to a quarter of the federal budget and is a key funding source for the war in Ukraine, intensifying the fiscal risk.
- Government-aligned sources say raising VAT from 20% to 22% is being discussed to plug the gap, but no decision has been taken.
- Kremlin spokesman Dmitry Peskov said the budget draft is being prepared by the government, while President Vladimir Putin has urged productivity gains over broad tax hikes.
- Finance Minister Anton Siluanov outlined plans to reinstate the budget rule with a gradual cut in the oil price threshold to $55 a barrel by 2030 to reduce volatility.