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viral measures. Expenditure on social benefits other than pensions rose by as much as about 40% after 2.5 times family benefits. Expenditure on health care increased by 30% and expenditure on various sectors of the economy such as communications, transport and roads as a whole increased by 17%.
General government expenditure also increased by almost 10%. In addition, expenditure on defence, internal security and law enforcement, as well as education and pensions, increased by 5-7%.
6.1.2 Budget dynamics - specific issues...
The Russian authorities are considering an aid package of c. RUB500bn, or 0.5% GDP. The new package is intended as a response to protests that are believed to have been fuelled in part by financial concerns and income inequality, both of, which COVID-19 has exacerbated. President Putin could announce the spending package during his Address to the Nation.
The proposed package could be meant to improve living standards for families with children, which proved to be an efficient tool last year, in our view. The measures could be timed to coincide with the parliamentary elections scheduled for September in order to boost the ruling United Russia party.
71 RUSSIA Country Report March 2021 www.intellinews.com