Russia's national debt set to increase, says finance minister
According to the finance ministry, Russia's state debt is expected to see a modest rise as the government seeks to borrow funds to mitigate the budget deficit. Read Full Article at RT.com
TroibNews 
State borrowing in Russia is projected to reach 18% of GDP by 2027 as the government seeks to address a budget deficit through increased borrowing, according to the finance ministry's announcement on Tuesday.
The draft budget indicates that state borrowing will total 4.8 trillion rubles in the upcoming year, rising to 5.1 trillion in 2026 and 5.3 trillion in 2027. By the conclusion of 2027, public debt is expected to increase from 15% of GDP in 2023 to 18% of GDP, as stated in the report.
Preliminary estimates suggest that the overall fiscal deficit will remain around 1% of GDP per year.
The ministry stressed that, despite this slight increase, national debt will still be at an “economically safe” level of under 20% of GDP, positioning Russia among nations with the lowest levels of state debt.
In comparison, the national debt of the UK has recently reached 100% of its annual economic output. The US state debt surpasses 120% of GDP, while Japan's figure is at a historic 260%.
Russian Finance Minister Anton Siluanov highlighted that the forthcoming budget will prioritize social support and defense, as well as aim for technological leadership. He also mentioned that over 3 trillion rubles will be allocated annually for support to Russia's regions.
Economists note that the growth of Russia's public debt is moderate due to a low budget deficit, with the country continuing to invest in significant projects and industries despite facing unprecedented sanctions from the West.
Ramin Sohrabi for TROIB News
The draft budget indicates that state borrowing will total 4.8 trillion rubles in the upcoming year, rising to 5.1 trillion in 2026 and 5.3 trillion in 2027. By the conclusion of 2027, public debt is expected to increase from 15% of GDP in 2023 to 18% of GDP, as stated in the report.
Preliminary estimates suggest that the overall fiscal deficit will remain around 1% of GDP per year.
The ministry stressed that, despite this slight increase, national debt will still be at an “economically safe” level of under 20% of GDP, positioning Russia among nations with the lowest levels of state debt.
In comparison, the national debt of the UK has recently reached 100% of its annual economic output. The US state debt surpasses 120% of GDP, while Japan's figure is at a historic 260%.
Russian Finance Minister Anton Siluanov highlighted that the forthcoming budget will prioritize social support and defense, as well as aim for technological leadership. He also mentioned that over 3 trillion rubles will be allocated annually for support to Russia's regions.
Economists note that the growth of Russia's public debt is moderate due to a low budget deficit, with the country continuing to invest in significant projects and industries despite facing unprecedented sanctions from the West.
Ramin Sohrabi for TROIB News
