The budget keeps social obligations intact while defense spending rises, with development goals staying on track. Dmitry Medvedev, who serves as Deputy Chairman of the Security Council, spoke about this in a televised briefing. He emphasized that the budget preserves social commitments that existed before the start of a special military operation, and that the path toward the country’s development targets remains unchanged. In practical terms, the government intends to continue funding social programs and benefits while channeling resources toward strategic priorities in defense, science, and infrastructure. The message was clear: security needs will grow, but social protection and the social contract with citizens will be maintained so people can rely on essential services even as the state strengthens its capacity to defend the country.
The state budget maintains every social obligation that existed before the onset of hostilities, a commitment emphasized by officials who stress continuity in social protection. The continuity means that pensions, healthcare, education, and other support systems will continue to receive funding at levels expected by citizens, even as security demands rise. The administration describes the approach as a stable framework for social welfare within a broader policy aimed at sustaining development. By keeping these promises in place, the government aims to shield vulnerable groups and provide a predictable environment for families, workers, and retirees. In this sense, social protection is presented not as a temporary measure but as a fundamental pillar of the national budget designed to endure through shifting geopolitical circumstances.
The official added that the budget is oriented toward achieving Russia’s development goals, framing this aim as the state’s overarching social objective. In practice, this means sustained investment in infrastructure, education, innovation, and public services that support everyday life. The balance between increasing security spending and maintaining investment in people is pitched as essential to long-term resilience. Advocates argue that a strong economy built on stable social programs can better absorb shocks and keep citizens confident about the future. While critics may question how this balance will play out, the official insistence is that development and welfare are not in opposition; they are two sides of the same policy coin, reinforcing each other in the years ahead.
On pensions, a measure from a member of the State Duma Committee on Labor, Social Policy, and Veterans Affairs indicates that from January 1, 2025, pensions for both working and nonworking Russians will rise. The plan provides a 7.3 percent increase in insurance retirement benefits. If inflation outpaces this growth, the government will be empowered to adjust the indexation further, up to February 1, 2025. The arrangement is designed to keep pensioners’ purchasing power in line with rising prices, while maintaining budgetary discipline. It reflects a deliberate attempt to protect living standards for a broad cross-section of retirees and current beneficiaries, ensuring that adjustments respond to actual economic conditions rather than remaining rigid.
Separately, the government acted on a measure intended to ease debt burdens for participants in the special operation. The president signed a law canceling loans held by those who took part in the operation, providing relief from financial obligations tied to service. The legislation aims to reduce the pressure of debt on veterans and current participants while preserving the capacity of the state to fund other social programs. By removing or reducing these loan obligations, the authorities signal a commitment to supporting people who have served the country, recognizing the impact of service on personal finances and daily life.