Relevant agencies to prepare proposals on adjusting the budget of the Russian Federation

Relevant agencies to prepare proposals on adjusting the budget of the Russian Federation


Budget adjustment needs to be done in the context of falling oil prices. At the moment the Ministry of Finance and line ministries are preparing the relevant proposals, said the head of the budget Committee of the Federation Council Sergey Ryabukhin.

MOSCOW, 12 Jan. The Finance Ministry and relevant agencies of the Russian Federation which dispose of means of the Federal budget, prepare the relevant proposals on the adjustment of the budget, said Tuesday the head of the budget Committee of the Federation Council Sergey Ryabukhin.

Previously, he said that the Cabinet of Ministers of the Russian Federation can submit proposals on the adjustment of the budget in the near future, not in spring as usual.

According to the Senator, “this (correction) need to do in the fall in oil prices to about $ 30 per barrel when the budget for 2016 the rate of $ 50”.

“In order to fully expend the Reserve Fund, to make more sustainable the country budget, probably, it is necessary to go on reduction of expenses,” the Senator said. According to ryabukhina, “the Ministry of Finance, line ministries that manage the funds of the Federal budget, preparing the appropriate proposals”.

Ryabukhin underlined that it is necessary to make the budget more realistic and to consider measures of compensation. “You need to enable the unused reserves, for example, to restore order in the alcoholic market, in capital construction, where the unfinished is two trillion rubles. To consider more effective and strict system of control over the organization of procurement for state and municipal needs”, — he noted.

According to him, in the current situation a number of budget expenditures should be reduced. According to Ryabukhin, not subject to reduction of protected articles of expenditures on defense and security, welfare payments.

“The government will probably offer to reduce unprotected items of expenditure, such as administration, non-production costs. Think very carefully, or even not to touch the funds that are put on the restructuring of the economy, that is, import-substituting industry. We have provided funds to about 340 billion rubles in reserve about 150 billion,” he added.

According to the Senator, “with savings on some items in the amount of 10%, we will be able to collect 1.6 trillion rubles – this is enough to balance the budget under the most pessimistic scenarios for oil and gas market”.

Speaking about the possible causes of a sharp drop in oil prices on the world market, Ryabukhin suggested that Russia was faced with a powerful external pressure from planned. The Senator recalled that Saudi Arabia, with about 30% in OPEC, has recently adjusted the parameters of its budget given the decline in oil prices to 29 dollars per barrel.

Earlier media reported that the Federal bodies of Executive authorities by 15 January proposals to reduce Federal spending by at least 10%. This decision initiated in response to the falling oil prices: currently, the price of “black gold” instead of 50 dollars per barrel (this figure included in the budget of the Russian Federation for 2016) is now around $ 30.