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Putin signs law on federal budget for 2021-2023

The volume of GDP is expected to be 115.53 trillion rubles ($1.5 trillion) in 2021, 124.22 trillion rubles ($1.7 trillion), in 2023 - 132.82 trillion rubles ($1.8 trillion)

© Alexei Nikolskly/Russian president's press service/TASS

MOSCOW, December 8. /TASS/. President Vladimir Putin signed the law on the federal budget for 2021 and for the planning period 2022-2023. The document was published on Tuesday on the official portal of legal information.

The budget law is based on the baseline version of the forecast of the socio-economic development of the country. It provides for a slow recovery of the global economy due to the persistence of restrictions associated with the spread of COVID-19. According to the forecast, the Russian economy will grow by 3.3% in 2021, by 3.4% in 2022, by 3% in 2023. During this entire period, inflation will not exceed 4%.

The volume of GDP is expected to be 115.53 trillion rubles ($1.5 trillion) in 2021, 124.22 trillion rubles ($1.7 trillion), in 2023 - 132.82 trillion rubles ($1.8 trillion).

Federal budget revenues are stipulated in the amount of 18.8 trillion rubles ($256 bln) in 2021, 20.6 trillion rubles ($280 bln) in 2022, 22.3 trillion rubles ($304 bln) in 2023. Budget expenditures will amount to 21.52 trillion rubles ($293 bln) in 2021, 21.88 trillion rubles ($298 bln) in 2022, 23.67 trillion rubles ($322 bln) in 2023.

That means that the budget deficit is expected at 2.75 trillion rubles ($37.5 bln) in 2021, 1.25 trillion rubles ($17.03 bln) in 2022 and 1.41 trillion rubles ($19.2 bln) in 2023.

In relation to GDP, budget revenues will decrease from 16.7% of GDP in 2020 to 16.2% of GDP in 2021, and then will gradually grow to 16.6% of GDP in 2022 and 16.8% of GDP in 2023. Budget spending will decline from 21.1% of GDP in 2020 to 18.6% in 2021 and 17.6% in 2022, and in 2023 will amount to 17.8% of GDP. The federal budget deficit is expected to be 2.4% of GDP in 2021, 1% of GDP in 2022 and 1.1% of GDP in 2023.

The government borrowings in the amount of 2.94 trillion rubles ($40 bln) in 2021, 1.87 trillion rubles ($25.5 bln) in 2022, 2.39 trillion rubles ($32.5 bln) in 2023 will be the main sources of financing the budget deficit.

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