Page 49 - RusRPTOct19

Expenditures came to RUBUB1.4 trillion in August, rising almost 20% y/y.
The June and July numbers were revised - now lower expenditures in July and higher in June - though the combined figure was little changed. In 8m19, expenditures were RUB10.7 trillion, up 5.5% y/y. Despite the increase in expenditures last month, the budget remained with a healthy surplus of RUB0.4 trillion (RUB2.6 trillion in 8m19).
The breakdown shows the government increased spending on some national projects in July-August. One area was roads and transportation, where spending reached RUB100bn in August, compared with the RUB310bn spent in all of 7m19.
Still, the breakdown of national project expenditures (available only for July at the moment) shows that almost 42% of the annual plan was spent in 7m19. Some of the projects, including those focused on the digital economy and the environment, remained further behind the annual plan.
“We expect the government to increase expenditures on national projects in the coming months, supporting investment and construction activity in 2H19,” Anton Stroutchenevski of Sberbank CIB said in a note.
6.1.2 Budget dynamics - specific issues...
Bank of Russia governor Elvira Nabiullina stated in an interview on Friday that Russia is not ready to launch its new funded pension system, called individual pension capital (IPC). Instead, the government should focus on improving the current system, including voluntary contribution schemes, she said. Later in the day, the Ministry of Finance announced its new plans for the
49 RUSSIA Country Report October 2019 ww.intellinews.com