Focus On Defence And Transport Corridors As Putin Approves Russian Federal Budget

MOSCOW: Russian President Vladimir Putin has approved the federal budget for 2025 and the planned period of 2026-2027, with a significant 25 percent increase in military spending compared to the previous year and a special focus on the development of transport corridors, including the International North-South Transport Corridor (INSTC)-the 7,200 km-long multimodal trade corridor that will link Russia with India via the ports like Chabahar.

The budget is notable for its secrecy, with one-third of its expenditures concealed from public scrutiny. The document, released on the legal-acts portal, emphasises key priorities such as fulfilling social obligations, ensuring national security and defence, advancing technological sovereignty, and developing infrastructure.

A total of 14 trillion rubles has been allocated for defence, alongside 21 trillion rubles for social policies and law enforcement and 14 trillion rubles for national economic development over the next three years.

For 2025, Russia's revenues are projected to reach approximately 40.3 trillion rubles, while expenditures are expected to exceed 41 trillion rubles, resulting in a deficit equivalent to 0.5 percent of the country's GDP.

Russia's GDP is forecasted to grow steadily, reaching 214.5 trillion rubles in 2025, 230.5 trillion rubles in 2026, and 248.3 trillion rubles by 2027. Inflation is expected to remain under 4.5 percent in 2025 and decrease to 4 percent in the following years.

The approved budget reflects an emphasis on military needs, social welfare programmes, technological development, and infrastructure modernisation. The increase in defence spending highlights Russia's commitment to strengthening its national security amidst ongoing global tensions. (IANS)

Also Read: Pakistan: Sectarian clashes in Kurram district leave over 130 dead

Also Watch: