Page 51 - RUSRptOct18

Foreign Direct Investment in Russia increased by $4,300mn in the first quarter of 2018 . Foreign Direct Investment in Russia averaged $5,985mn from 1994 until 2018, reaching an all time high of $40,140mn in the first quarter of 2013 and a record low of -$3922mn in the fourth quarter of 2005.
6.0 Public Sector 6.1 Budget
Russia's federal budget surplus in January-August 2018 amounted to RUB1.96 trillion ($28bn) or 3.1% of GDP , up from RUB1.38 trillion of 2.5% of GDP as of end of July .
Although federal spending seasonally peaks in November-December, the Finance Ministry is close to recording the first budget surplus for the whole year since 2011 on high oil and gas revenues. The budget was initially drafted at $43.8 per barrel oil price and 1.3% of GDP deficit.
Revenues reached RUB12.2 trillion (up by 27%), whereas expenditures increased by only 4% y/y to RUB10.3 trillion. The budget surplus reached almost RUB2 trillion.
Oil and gas income increased by 44% y/y in 8m18, to RUB5.5 trillion.
Support came from higher oil prices and the weaker ruble. Non-oil and gas income also showed positive dynamics, increasing by 15% y/y to RUB6.7 trillion, with support coming from better tax collection during the period.
The government was able to borrow only RUB371bn (net) over 8m18,
compared with the initial plan of RUB1.04 trillion. However , taking into account the large amount of cash stored at the CBR, it should have no problem financing its operations for the rest of the year or buying hard currency in accordance with the budget rule. Analysts expect the budget surplus to reach
51 RUSSIA Country Report October 2018 www.intellinews.com