Russia to Utilize Fiscal Reserves to Balance 2025 Budget Amid Rising Deficit
In a move to address the growing fiscal gap, Russia's finance minister has announced plans to tap into the country's fiscal reserves to the tune of 447 billion roubles, equivalent to $5.51 billion. This allocation, which accounts for approximately 14% of the remaining liquid assets, aims to balance the budget for 2025. The decision comes on the heels of a significant threefold increase in the deficit, underscoring the need for prudent financial management. As the Russian government navigates this challenging economic landscape, leveraging fiscal reserves is seen as a strategic step to maintain economic stability and ensure the effective implementation of budgetary plans. With a focus on budget balancing and financial sustainability, this move highlights the importance of fiscal discipline in managing economic uncertainties, including those related to economic downturns and financial crises, and the role of fiscal policy in stabilizing the economy.
