LONDON (AP) — Russia's State Duma took a step forward Wednesday towards approving its biggest-ever federal budget which will increase spending by around 25% in 2024, with record amounts going on defense.
Part of the Russian budget is secret as the Kremlin tries to conceal its military plans and sidestep scrutiny of its war in Ukraine.
Analysts suggest Russia is in third place globally for defense spending behind China and the United States, which spends around $850 billion a year.
The main driver of that growth is Russia's war in Ukraine, which is now as important to the Kremlin economically as it is politically.
If there is a reduction in military spending, or a need to reduce spending which impacts living standards, it could send shockwaves through the Russian economy and significantly impact ordinary people.
Persons:
Vladimir Putin, ”, Richard Connolly, Farida Rustamova, Maksim Tovkaylo, Alexandra Prokopenko, Anton Siluanov, “, Connolly, they’ve, ” Prokopenko, Prokopenko, — — David McHugh
Organizations:
—, Duma, Kremlin, Royal United Services Institute, Independent, Carnegie Russia Eurasia Center, Russian Central Bank, Finance, Defense, Central Bank
Locations:
— Russia's, Russia, Ukraine, London, China, United States, Russian, West, India, Berlin, Frankfurt