MOSCOW, Oct 2 The Russian Finance Ministry is due to submit its
2017-2019 budget proposals on Oct. 13, which envisage tighter spending and lower
The ministry is looking for ways to cut costs and raise additional funds to
cover holes in the state budget caused by weak oil prices.
It wants to keep state spending intact but at the same time cut the budget
deficit by 1 percentage point in the next three years. This year's deficit may
reach 3.5-3.7 of gross domestic product.
The ministry said it would raise borrowing, both domestic and foreign, but
concrete plans are not yet publicly known. It had said previously it may raise
up to $7 billion on foreign markets in 2017.
Below are some of the revenue gathering proposals, revealed so far by the
ministry on how to raise additional funds, as reported by Russian news agencies
and compiled by Reuters.
2017 2018 2019
AVERAGE OIL PRICE $40/bbl $40/bbl $40/bbl
AVERAGE ROUBLE 67.5/dollar 68.7/dollar 71.1/dollar
REVENUES 13 trln roubles 13.7 trln roubles 14.7 trln roubles
- privatisation 6 bln roubles 6 bln roubles 6 bln roubles
- higher gasoline 43 bln roubles 48 bln roubles 50 bln roubles
- modified taxes 150 bln roubles 175 bln roubles 210 bln roubles
on oil industry
- higher tobacco 35 bln roubles 82 bln roubles 126 bln roubles
- higher dividends 269 bln roubles 277 bln roubles 288 bln roubles
on state firms
SPENDING 15.79 trln roubles 15.79 trln roubles 15.79 trln roubles
(Reporting by Darya Korsunskay and Lidia Kelly; Editing by Toby Chopra)