11 Jan 2024 15:08

Russian budget deficit in 2023 is 3.24 trln rubles, or 1.9% of GDP - Finance Ministry

MOSCOW. Jan 11 (Interfax) - The Russian federal budget, based on preliminary data from the Ministry of Finance, was executed in 2023 with a deficit of 3.241 trillion rubles, or 1.9% of GDP.

The law plans for a deficit of about 2.9 trillion rubles, or 2% of GDP, for 2023. Earlier, Russian Finance Minister Anton Siluanov noted that the ministry expects a deficit in nominal terms at the level of its planned values, and below plan in relation to GDP. "We planned a deficit for the current year of slightly less than 3 trillion rubles; 2.9 trillion rubles, to be exact. This is the figure we are expecting for the year, because, on one hand, our expenses have increased in connection with new tasks, and incomes have increased on the other. The general parameters in nominal terms of the 2.9 trillion ruble deficit remain practically unchanged, that is, we expect this indicator to remain unchanged. As a percentage of GDP, of course, it will be below 2%. We now expect a deficit of about 1.5 %," he said at the end of December. Meanwhile, the minister said that the final assessment of the budget's execution in relation to GDP would depend on "what volume of GDP we receive after all the clarifications and recalculations are completed. Therefore, the deficit may be under 1.5%. Based on today's estimates of the nominal GDP, this is about 1.5% of GDP, which is less than we initially planned," he said.

Based on preliminary data, in January-November the deficit was nearly 878 billion rubles, or 0.5% of GDP, while according to an updated estimate, it reached 748 billion rubles. Thus, in December, with the traditional jump in spending for the month, the deficit jumped more than 2 trillion rubles (2.363 trillion or 2.493 trillion rubles).

Budget revenues reached 29.123 trillion rubles in 2023, while spending totaled 32.364 trillion rubles.

The Ministry of Finance said that revenues last year exceeded 2022 levels by 4.7%, while spending was up 4%.

Non-oil and gas revenues totaled 20.301 trillion rubles, increasing 25% YoY, and were 3.1 trillion rubles higher than planned for the year. VAT receipts totaled 11.614 trillion rubles (21.6% more than 2022), while income tax revenues were 1.919 trillion rubles (a 14.9% increase).

Oil and gas revenues totaled 8.822 trillion rubles, a 23.9% decrease compared to 2022. The Ministry of Finance attributes this to the high base of the previous year, a decrease in prices for Urals oil at the beginning of the year, lower prices and a reduction in natural gas exports. Additional oil and gas revenues (above the base level of 8 trillion rubles, which was used last year to determine the volume of replenishment for the National Wealth Fund) totaled 822 billion rubles.