{{In the coming years, the government will get less revenue than was expected before, and the budget policy for 2014-2016 has to be planned accordingly, President Vladimir Putin said on Thursday while presenting the budget policy to senior government officials and lawmakers.}}
Putin also said that while revenues from natural resources are decreasing, financing coming from other industries is so far limited.
“The share of federal government revenues coming from oil and gas sales rose from 30 percent in 2004 to 46 percent in 2013,” Putin said.
In 2007, with oil prices at $69 per barrel, the budget was in surplus, while last year, when oil prices were as high as $110 per barrel, it ran into a deficit, the president added.
“The means to increase state spending have been exhausted, so this implies we must look for reserves, funds should be allocated for priority areas and projects that would create the basis for economic growth and implement the tasks that were spelled out in presidential decrees issued in May 2012,” Putin said.
Dmitry Kamnev, deputy head of the public finance department at the Higher School of Economics, said that this way, Putin once again gave a reminder that he is closely watching how well his decrees are being enforced.
“This is an obstacle, without overcoming it Putin cannot go on to new tasks,” Kamnev said. “The decrees cover many social aspects that are crucial for the people, so the President strives to solve both social and economic problems.”
Putin also asked the Cabinet to work out Russia’s budget strategy up to 2030 within three months and, if necessary, revise the social and economic development outlook.
{The Moscow Times }
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