Russia's budget deficit might be lower than forecast 2% of GDP in 2023, surplus possible in 2024 - Kremlin aide

VLADIVOSTOK. Sept 11 (Interfax) - Russian federal budget revenues this year are in line with the upper end of forecasts, particularly for non-oil and gas revenues, Kremlin aide Maxim Oreshkin told Interfax on the sidelines of the Eastern Economic Forum (EEF).

As a result, the budget deficit in 2023 will not exceed the forecast 2% of GDP and might even be lower, while in 2024 there might be a surplus in certain scenarios, Oreshkin said.

"The situation with budget revenues is developing at the upper boundary of expectations. For the year, the budget will add up with a deficit of 2% of GDP or less, which is better than the parameters factored in for this year. The dynamic of non-oil and gas revenues is demonstrating the most positive picture," Oreshkin said when asked about the current budget situation.

"The Cabinet has done very substantial work on balancing the budget for the next three years. Budget balance indicators will be far better than expectations," he said when asked about the outlook for the budget for the next three-year period.

"Given certain scenarios, next year's budget might be executed with a surplus," Oreshkin said.

Russia had a federal budget deficit of 2.361 trillion rubles or 1.5% of GDP in the first eight months of 2023, preliminary figures from the Finance Ministry showed. Prime Minister Mikhail Mishustin said at a meeting on the budget plan for 2024 and the planning period of 2025-2026 on Friday that there was a surplus of 230 billion rubles in August.

The current budget law targets a deficit of about 2.9 trillion rubles or 2% of GDP for 2023 and deficits of 2.193 trillion or 1.4% of GDP in 2024 and 1.264 trillion rubles or 0.7% of GDP in 2025.

The government is now finalizing the preparation of the budget for 2024 and the planning period of 2025-2026.