The Ministry of Finance: the goal to eliminate budget deficit in Russia by 2019

The Ministry of Finance: the goal to eliminate budget deficit in Russia by 2019


The budget forecast for 2017 is more positive than in 2016. The Finance Ministry plans to cut budget deficit to 1% by containing expenditure growth, said Deputy Finance Minister Alexei Lavrov.

SAMARA, 31 Oct. The aim is to achieve a deficit-free budget of the Russian Federation by 2019, according to forecasts in the period from 2017 to 2018, the budget deficit figures would be reduced by 1%, told reporters on Saturday Deputy Finance Minister Alexey Lavrov.

“Options for 2017 already marked. Of course, the prognosis should be discussed. I can say that the Federal budget deficit for 2017 was adopted at the level of 2% of GDP, while in 2016 — 3%. In 2018 only 1%. The goal in 2019 to reach a deficit-free budget,” — said Lavrov.

He stressed that while it is impossible to say that it is a detailed forecast, but rather a concept.

Lavrov noted that the budget forecast for 2017 is more positive than in 2016. The Finance Ministry plans to reduce the budget deficit by 1% due to the containment of costs.

In particular, the Agency has developed a number of measures to control subsidies. Among them is the return of funds previously made grants Treasury account, with further distribution. In that case, if the subject is not implemented subsidies from the Federal government and does not intend to reallocate for other needs, they will be returned to the state budget.

According to Lavrov, the priority will remain the “subsidies on social services, subventions for the support of housing sector and subsidies in agriculture”.

The draft budget for next year was submitted to the state Duma on 23 October. The income 13,738 trillion rubles, expenses — 16,098 trillion rubles. The budget deficit will be at 2.36 trillion rubles, or 3% of GDP. The document for the following year drawn up on the basis of the inflation rate not exceeding 6.4 per cent.