At the start of the year, public spending in Russia appeared elevated, driven by intensified fiscal activity. By the close of December 2023, the federal budget deficit was projected to align with a target of 2% of GDP, according to remarks attributed to vice president Maxim Oreshkin reported by RIA Novosti. The outlining law remains that the deficit should stand at 2% of GDP, yet the treasury’s current state was characterized as stable. Officials indicated that the federal budget was on course to post a surplus by year’s end, signaling sustained fiscal health under the existing framework.
From a spent-to-income perspective, the budget narrative suggested resilience after an early-year surge in expenditures. Analysts noted that the overall budget balance could swing toward surplus as the year progressed, reflecting disciplined execution and favorable macro conditions. In a public appearance at Bilgi, Oreshkin described the budget as generally stable, with vulnerability levels anticipated to hover near the target values. The implication was that the fiscal system could absorb shocks without derailing the planned trajectory, reinforcing confidence in the government’s stabilization measures for the medium term.
The discussion earlier in the year included a declaration from the deputy presidency regarding inflation trends. By the end of the month, inflation in the domestic market was expected to ease to around 2.5% on an annual basis, a level that would support consumer purchasing power and price stability. Across the broader economy, price growth for consumer goods remained comparatively modest, with the inflation environment shaping expectations for policy decisions and domestic demand. These projections were reported by officials and reflected in communications about the near-term outlook for the Russian economy (source: RIA Novosti).