Responsible budget policy must be maintained in next three years and in long term - Putin

MOSCOW. Sept 17 (Interfax) - Responsible budgetary policy, which guarantees stability in public finances, must be maintained in the coming years, as well as in the long term, Russian President Vladimir Putin said.

"New national projects will be launched starting next year. It is necessary to provide financial resources, to include them in the federal budget in the required volume, for their successful implementation. Strategic decisions on fine-tuning the tax system, among other matters, should work here. They are designed to make it fairer and more effective. These changes will also come into force next year. I will add separately that in order to achieve national development goals confidently and consistently, it is important to maintain a responsible budget policy, to guarantee the sustainability and balance of not only the federal budget, but also the entire system of public finances, both for the next three years and for the more distant future," Putin said at a meeting on economic issues, where the federal draft budget for 2025 and the planning period of 2026-2027 were discussed.

"I propose dedicating today's meeting to specific practical steps to fill the federal draft budget, including discussing its key items in the revenue and expenditure sections," Putin said.

Putin said that the priorities of government spending should include, as in the previous three years, providing social support for citizens; strengthening the country's defense capability; integrating the regions of Donbass and Novorossiya; as well as developing the domestic economy and social sphere technologically; expanding and strengthening infrastructure; renewing cities and towns; and improving the quality of life of citizens.

The budget law for 2024-2026 indicates that the budget deficit should be 1.1% of GDP this year, 0.4% of GDP in 2025, and 0.8% of GDP in 2026.

The deadline for submitting the federal draft budget to parliament in 2024 for the next three-year period has been postponed from September 15 to October 1 in order to allow the government time to assess the possible effect of the adopted amendments to the Tax Code to improve the tax system on budget revenues, as explained previously.