Page 90 - RusRPTJul22

trillion worth of the ordinary shares of Sberbank (Sber), and RUB26bn and RUB50bn in the ordinary shares of Aeroflot national carrier and mortgage agency Dom.RF respectively.
6.0 Public Sector 6.1 Budget
Speaking at the Financial University on May 27th, Finance Minister Anton Siluanov said that Russia needed “huge financial resources”
In April, total spending increased by 38% year-on-year. According to Siluanov, total additional government support this year could reach RUB8 trillion, equivalent to an increase in spending of over 30% compared to the original 2022 budget (although some of this support will take the form of tax holidays and reduced federal revenue, rather than additional spending). This is a stimulus equivalent to around 6% of the pre-war forecast GDP for 2022.
How much of this additional spending will go directly on the military? Over the first four months of the year, Russia had already spent 44% of the planned budget for "national defence".
Prime Minister Mikhail Mishustin said
On the revenue side, the April budget data showed a collapse in VAT and excise receipts of 36% and 43% respectively, which is in line with the estimates for the decline in imports as a result of sanctions. As a result, the contribution of the oil and gas sector to budget revenue rose to 63%, compared with 32% in 2021 and just 28% in 2020.
Oil and gas revenue in January-April was up by 91% year-on-year, but Russian oil is now trading at a big discount. In April the average price of Russian oil was just over $70/barrel, compared with a Brent average of $106/barrel. The partial EU oil embargo, announced at the end of May and discussed below, will further widen that spread.
for the war
in Ukraine. Siluanov did not give a figure, but initial budget data for the period
January-April provides a part of the picture of the direct and indirect costs of
the war.
In April, spending on national defence was up by 150% year-on-year to
RUB627 billion rubles. It was also 80% higher than the average monthly
spending on defence from January to March (a period that included more than
a month of fighting). Earlier in May,
that the cost of economic support, including tax relief, was expected to reach
RUB5 trillion, while “other measures” would raise total additional budget
stimulus to RUB8 trillion. The RUB3 trillion gap between those two figures may
represent additional spending on the military.
90 RUSSIA Country Report October 2020 www.intellinews.com