Russian Defense Spending Set To Increase By Almost 70% In 2024 From 2023

FILE - Russian Security Council Deputy Chairman Dmitry Medvedev, front right, speaks to Russian military members during his visit at a military training range in the Russian-controlled Donetsk region, Ukraine, Sept. 15, 2023. (Pool Sputnik via AP)  

VOA: Russian Military Will Get Lion's Share from Kremlin's Robust Budget 

Russian President Vladimir Putin signed a national budget for the next three years that increases spending by around 25% and reportedly devotes a robust amount to defense as Russia’s war in Ukraine drags on. 

The budget foresees spending in 2024 of $415 billion with an expected deficit of $9.5 billion. 

After the budget was passed by the lower house of the parliament, Speaker Vyacheslav Volodin said it was developed specifically to fund the military and to mitigate the impact of international sanctions imposed on Russia after its Ukraine invasion in February 2022.  

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WNU Editor: This is definitely a war time budget. 

Russian Defense Spending Set To Increase By Almost 70% In 2024 From 2023  

Putin signs Russia’s largest national budget, bolstering military spending -- AP 

Putin Approves Big Military Spending Hikes for Russia's Budget -- Reuters  

Russia approves record spend for military in new budget -- Africa News

Russia Says It Plans To Raise Defense Spending By Almost 70% Next Year

Visitors walk near exhibits, which are on display at the Army-2015 international military-technical forum in Kubinka, outside Moscow, Russia, June 17, 2015.  

Moscow Times/AFP: Russia said Thursday that it plans to raise defense spending by almost 70% next year 

Russia said Thursday that it plans to raise defense spending by almost 70% next year, funneling massive resources into its Ukraine offensive to fight what it calls a "hybrid war" unleashed by the West. 

With Moscow's "special military operation" now dragging through its 20th month, both sides have been digging deep and procuring weapons from allies in preparation for a protracted conflict. 

The announcement came as NATO chief Jens Stoltenberg and the defense ministers of Britain and France visited Kyiv, where President Volodymyr Zelensky lobbied for more air defense systems.  

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WNU Editor: It is not only defense spending that is seeing a increase .... Russia plans 26% rise in budget spending in 2024 election year (Reuters). 

Russia Says It Plans To Raise Defense Spending By Almost 70% Next Year  

Russia Needs to Boost Defense Spending to Counter Hybrid War - Kremlin -- Sputnik  

Russia plans to increase its military budget by 70% in 2024 -- Le Monde  

Russia Reportedly Plans To Ramp Up Military Spending in 2024 -- RFE  

Russia’s defence industry to ramp up military production by a third -- The Telegraph  

Russia must increase defense spending — Kremlin spokesman -- TASS  

Russia’s Escalating Military Spending Amidst Ukraine Conflict: A Deep Dive -- BNN

Is Russia’s Current Soaring Defense Spending Unsustainable?

Jamestown Foundation: Russia’s Skyrocketing Defense Spending, 2022–2023 

 1) Russia’s ongoing aggression in Ukraine has forced the Kremlin to ramp up defense spending in a big way. 

2) The turbulence in Russian defense spending will probably increase in 2023. 

3) The skyrocketing defense budget means less flexibility and efficiency for Russian government spending. 

Russia’s continued aggression against Ukraine and the Kremlin’s attempts to escalate the political situation and prevent defeat on the battlefield through mobilization, nuclear blackmail and possibly even sabotage on gas pipelines in the Baltic Sea raise the question: How do all these factors influence the Russian defense budget? 

Since May 2022, the Russian government has not released much data on the defense budget. Nevertheless, defense spending from January to April totaled almost 1.6 trillion rubles ($26.4 billion), with about 500 billion rubles ($8.3 billion) of spending per month for March and April. Considering these dynamics in comparison with Moscow’s defense spending in previous years—roughly 300 billion rubles ($5 billion) per month—and the fact that the original defense budget in 2022 was 3.85 trillion rubles ($63.6 billion), the true amount for Russian defense spending in 2022 may well reach as much as 5.5 trillion rubles ($90.9 billion) by the end of the year (Budget.gov.ru, May 2022).  

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WNU Editor: The last thing that is on the Kremlin's mind right now is balancing their budget. Their priority and focus right now is to win the war, and to spend what is necessary to achieve it.

Russia Set To Cut Military Spending Next Year In Favor Of Boosting The National Economy

FILE PHOTO: Soviet armoured vehicles in front of the St. Basil's cathedral, Moscow © Reuters / Maxum Shemetov

RT: Economy now more important than military expenses, Russia's budget plans show

Russia is set to cut military spending next year in favor of boosting the national economy, marking the first time in seven years the two areas have traded places in the government’s budget plans.

Moscow has had to revise the country’s spending plan in the wake of the coronavirus outbreak, with the government approving a new federal budget bill for the next three years earlier this week.

According to a note relating to the draft plan, seen by business news outlet RBC, military costs are set to stand at 3.11 trillion rubles ($41.08 million) in 2021, equivalent to around 14.5 percent of all government expenses. That’s over one percent lower than the funds allocated for the national economy, which are expected to total 3.37 trillion rubles ($44.51 billion).

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WNU Editor: The pandemic coupled with lower oil and natural gas prices has hit the Kremlin's budget.

Butter Over Guns In Russia

© Sputnik / Alexei Druzhinin

Fred Weir, CSM: To pay for a 'Russia first' agenda, Putin takes ax to military spending

Inaugurated for his fourth official term as Russia's president Monday, Vladimir Putin surprised many by declaring what sounds like a “Russia first” program: a relentless focus on domestic development, to be partially paid for by sharp cuts in defense spending.

It may sound contrary to Western perceptions of Russia's global intentions. But the priorities listed in the new Kremlin strategic program suggest that Mr. Putin has decided to use what seems likely to be his final term in office to cement his already substantial legacy as a nation-builder.

The projected surge in spending on roads, education, and health care will have to be paid for. A key source of that funding will be the military budget, which had been growing by around 10 percent annually for much of the Putin era.

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WNU Editor: This is one of those stories that deserve far more attention than what it has received.

How Russia Is Managing Its Defense Cuts

(Click on Image to Enlarge)

Stratfor: What Defense Cuts Mean for Russia's Military

A new study shows Russia's defense budget has taken a big hit. In its annual report on global military spending, the Stockholm International Peace Research Institute highlighted a 20 percent drop in Russian defense spending between 2016 and 2017. The report suggests that Russia's economic troubles have put a dent in Moscow's aspirations to continue with elevated defense spending, but the 20 percent figure does require some context to be fully understood. Russian military modernization will move forward in the coming year, but the Kremlin will increasingly need to make tough choices about what it prioritizes.

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WNU Editor: As the above graph shows .... the Russian defense budget has expanded greatly since the Russian - Georgian war. The current drop is an anomaly, and I will not be surprised if next year's budget will be reversing this drop.

Russian Defense Spending Falls By Twenty Percent

People gather near Russian military vehicles in Tverskaya street before the rehearsal for the Victory Day parade in central Moscow, Russia, May 3, 2017. REUTERS/Sergei Karpukhin/File Photo

Reuters: Russian military spending falls, could affect operations: think-tank

STOCKHOLM (Reuters) - Russian military spending fell by a fifth last year, its first decline in nearly two decades, with tighter purse-strings likely to affect Moscow’s military activity ahead, a report by defense think-tank SIPRI showed on Wednesday.

Russia has flexed its military muscles during the last few years with its 2014 annexation of Ukraine’s Crimea and deep involvement in the Syrian conflict serving as examples of its more belligerent stance.

But while global military spending rose one percent to $1,739 billion last year, Russia’s fell 20 percent in real terms to $66.3 billion, the report from the Stockholm International Peace Research Institute (SIPRI) showed.

It was the first fall since 1998, a year of a major crisis when Russia’s economy collapsed and it defaulted on domestic debt. The following year Vladimir Putin took power as prime minister and, on New Year’s Eve, president.

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Update #1: Sanctions force Russia to cut defence spending: study (AFP)
Update #2: Russian Military’s Tighter Purse-strings to Impact Operations – Think Tank (Moscow Times)

WNU Editor: At the beginning of this year when President Putin was running for re-election one of his promises was to conitnue to cut the defense budget after years of growth .... less guns, more butter. So I am not surprised by the drop .... but I am surprised by the 20% number. This budget will also not be sustainable if the war in Syria escalates into something larger .... or if the conflict in Ukraine and the West continues to grow.

Did Russia Cut Its Defense Budget By 25 Percent?

© PHOTO: RUSSIAN DEFENSE MINISTRY

Dave Majumdar, National Interest: Did Russia Just Cut Its Defense Budget by a Whopping 25 Percent?

A new report from Jane’s suggesting that the Kremlin is undertaking draconian defense cuts is wrong, a top analyst specializing in Russian affairs says. While the Jane’s report cites cuts of twenty-five percent—or one trillion rubles—the actual reductions are only about seven percent or roughly 230 billion rubles.

“Russian defense budget is going from 3.07 trillion RUB in 2016, to 2.84 trillion RUB in 2017, a reduction of ~7%, which is about 1% harsher than announced in October of last year,” Michael Kofman, a research scientist specializing in Russian military affairs at the Center for Naval Analysis writes. “The original estimate for the 2017-2019 budget plan was a 6% reduction over that period of defense spending. The difference now is about 230 billion RUB.”

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WNU Editor: If there is a decrease .... my prediction is that it will only be for a short time.

Russian Defense Spending Drops For the First Time Since The 1990s

© Sputnik/ Iliya Pitalev

Sputnik: Russia's 2016 Defense Spending Declines for 1st Time Since 1990s

Russian military spending has declined in 2016 for the first time since the 1990s, UK media reported on Monday.

MOSCOW (Sputnik) – Global defense spending has increased by 1 percent in 2016, even taking into consideration the first decline in military expenditures of Russia in more than 15 years, the Financial Times newspaper reported, citing an annual report conducted by Jane`s Defence Budget company.

The newspaper added that at the moment Russia's defense budget is the seventh in the world, after the ones of the United States, China, India, the United Kingdom, Saudi Arabia and France, and is estimated at $41.1 billion.

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Update #1: Russia drops out of world's top 5 defense spenders (UPI)
Update #2: Russia drops out of world’s top 5 defense spenders for 1st time in 30 years (RBTH)

WNU Editor: As I had mentioned earlier this year .... its all about the Russian economy .... Russian Defense Budget To Be Cut By 5% In 2016 (March 6, 2016). More here .... The Declining Russian Defense Budget (October 27, 2016).

Is Chinese And Russian Military Spending Combined Equal To What The U.S. Is Currently Spending?

China's President Xi Jinping (front), Russian President Vladimir Putin (2nd row), and US President Barack Obama (3rd row) walk as they take part in an Asia-Pacific Economic Cooperation (APEC) family photo inside the International Convention Center at Yanqi Lake in Beijing, Nov. 11, 2014.

Kaya Forest and Sierra Rayne, American Thinker: China and Russia combined now at military spending parity with US

Each year about this time, as the Stockholm International Peace Research Institute (SIPRI) releases its global military spending database, we hear the same refrain: the United States spends more than the next [insert your favorite large number here] countries combined.

How wrong these analyses are, and those who advocate for greater American defense expenditures should know better.

Comparing military spending among major powers using a common U.S. dollar metric is simply economic nonsense. Given that adversaries such as China and Russia, among others, have massive in-house arms manufacturing capabilities as well as expend great resources on indigenous operations and maintenance requirements, the correct means of comparison is on a purchasing power parity (PPP) basis.

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Update: Good News, Russia and China: The Great Shrinking of the US Military Is Here (Justin T. Johnson, National Interest)

WNU Editor: I am always sceptical of these reports. The U.S. may spend $600 billion on their military, but this does not include the intelligence budgets, the DOE's nuclear budget, and a whole bunch of other government programs and organizations. As for China's and Russia's defense budgets .... current economic hardships are resulting in decreasing military budgets .... not increasing.

Low Oil Prices Is Forcing Russia To Cut Its Defense Budget

Wall Street Journal: Low Oil Prices Force Russian Defense Cuts, Top Military Business Boss Says

Procurement will fall by 10% this year even as Russia displays its military might in Syria

MOSCOW—Russian defense procurement will drop by about 10% this year as low oil and gas prices drain income from the state budget, according to the powerful head of the conglomerate that controls the key pieces of Russia’s military-industrial complex.

Sergei Chemezov, chief executive of the Russian state industrial holding Rostec—the maker of weapons including Kalashnikov assault rifles and Pantsir antiaircraft systems—said he expected the Russian defense sector to contend with a decrease in government orders.

“Oil and gas prices aren’t as high as desired, and they’re the main source of income for the budget,” said Mr. Chemezov. “So, of course, it’s completely understandable that there is a reduction in defense orders.”

Added Mr. Chemezov: “It’s not to the point of being critical for our industry.”

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WNU Editor: Russian President Putin has a choice .... guns or butter .... and he has chosen butter. What's my take .... this is a wise move .... economic stability is more important (right now) for the Kremlin than supporting wars in Syria and elsewhere.

Russian Defense Budget To Be Cut By 5% In 2016

Russian servisemen drive T-72 main battle tanks during a parade to mark the 70th anniversary of the end of the World War Two in the Far Eastern city of Yuzhno-Sakhalinsk, Russia, September 2, 2015. REUTERS/Sergei Krasnoukhov

Reuters: Russia will cut defense budget by 5 percent in 2016, RIA reports

Russia’s defense budget will be cut by 5 percent in 2016, Russian Deputy Defence Minister Tatiana Shevtsova said, according to the RIA news agency.

Defense spending has been growing as part of a drive by President Vladimir Putin to restore Russia’s military might. The decision to cut shows, however, that even the armed forces are not immune to a slowing Russian economy, which has been hit by falling oil prices and Western sanctions.

The 5 percent cut, if approved by Putin, would be the biggest reduction in defense spending since he took office in 2000.

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Update: Russian Defense Budget to Be Cut by 5%, Not 10% -- Sputnik

WNU Editor: Russian President Putin will have to approve this cut ... but if he does it is another  indication on how bad the Russian economy is, and his worries on where this is heading.

Russia May Cut Defense Spending

Military parade in Red Square. Wikipedia

Reuters: Russia could cut defense procurement spending: sources

The Russian government is considering a 5 percent cut in defense procurement spending this year, sources say, showing not even Vladimir Putin's plan to restore Moscow's military might is immune to the pain of a slowing economy.

The president has made beefing up the military a national priority, and the fact it is up for discussion is a sign that no area is safe from budget cuts as Russia begins a second year of recession following a fall in oil prices and Western sanctions.

The proposal is backed by the finance ministry and has the support of several other ministries and state institutions, enough for it to be put forward for discussion at a cabinet meeting, four official sources said.

A 5 percent cut in defense procurement spending would save the government no more than 100 billion roubles ($1.29 billion), according to an estimate by one official who spoke to Reuters.

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Update #1: Russia considering ways of cutting budget spending — Kremlin (TASS).
Update #2: Russia to Cut 2016 Military Spending By 5% (Sputnik)

WNU Editor: Russian defense spending has been booming in the past few years .... Russia ‘dominated’ military spending increases in 2015, developing ‘revolutionary’ missile-blocking tank (National Post/The Telegraph), a step-back is probably advisable.

A Look At The Russian Military's 'Black Budget'

Andrey Biryukov, Bloomberg: The Secret Money Behind Vladimir Putin's War Machine

If Vladimir Putin’s ends remain mysterious, so do the means.

Putin is allocating unprecedented amounts of secret funds to accelerate Russia’s largest military buildup since the Cold War, according to data compiled by Bloomberg. The part of the federal budget that is so-called black -- authorized but not itemized -- has doubled since 2010 to 21 percent and now totals 3.2 trillion rubles ($60 billion), the Gaidar Institute, an independent think tank in Moscow, estimates.

Stung by sanctions over Ukraine and oil’s plunge, Putin is turning to defense spending to revive a shrinking economy. The outlays on new tanks, missiles and uniforms highlight the growing militarization that is swelling the deficit and crowding out services such as health care. Thousands of army conscripts will be moved into commercial enterprises for the first time to aid in the rearmament effort.

WNU Editor: Like the U.S. .... Russian defense related expenditures that are kept secret eat up a lot of money. But building up Russia's defense industrial complex .... sadly .... that is the world that we now live in.

Russia's New Tank Is Puting A Hole In Its Defense Budget

© Sputnik/ Mikhail Voskresensky

Franz-Stefan Gady, The Diplomat: Is the 'World’s Deadliest Tank' Bankrupting Russia?

Moscow is overspending on its armed forces and still might not get the military it wants by 2020.

Russia is expected to spend more money on its military in 2015 than in any previous year in its entire post-Soviet history.

According to an analysis conducted by Forbes Magazine, Russia will spend an estimated 5.34 percent of its economic output on defense in 2015. This estimate is based on the assumption that the Russian economy will contract by 3 percent and a 15 percent hike in the real value of the military budget.

However, another estimate quoted in the Wall Street Journal based on Russian government data notes that country’s GDP may even decrease by 4.6 percent largely due to lower oil prices and Western sanctions. Consequently, Prime Minister Dmitry Medvedev recently announced that this year’s 3.3 trillion rubles military budget will need to be adjusted and cut by five percent or 157 billion rubles.

WNU Editor: Russia's new Armata tank may be putting a hole in their defense budget .... but Russian officials are proud of it anyway .... Russia’s New Armata Tank Hard to Rival - Russian Deputy Prime Minister (Sputnik). More here .... Western Tanks Are 15-20 Years Behind Armata: Russian Dy PM Rogozin (Defense World)

Russian Military Spending Continues To Soar

Military parade in Red Square. Wikipedia

Russia Spends More Of Its Wealth On Arms Than US In 2013 -- The Guardian

Russian defence spending rises by 4.8% to $88bn, devoting larger share of GDP on military than US for first time since 2003

Russia spent a higher proportion of its wealth on arms than the US last year for the first time in more than a decade, according to figures published on Monday by a leading international research body that highlights Moscow's resurgent military ambition as it confronts the west over Ukraine.

Western countries, including Britain and the US, reduced defence budgets, but Russia increased arms spending by 4.8% in real terms last year to almost $88bn (£52m), devoting a bigger share of its GDP to the military than the US for the first time since 2003, according to the Stockholm International Peace Research Institute (Sipri).

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Update: Russian Military Spending Soars -- The Diplomat

My Comment: Here is an easy prediction .... the Ukraine crisis is only going to mean an even bigger Russian military budget next year.

Russia Reveals Details Of Its Defense Budget

Russia Reveals Detailed Data On Defense Spending Until 2013 -- RIA Novosti

Russia has made public for the first time in many years a detailed account of its defense spending until 2013, the Vedomosti daily said on Tuesday.

State Duma Defense Committee head Viktor Zavarzin said last week that the country's defense spending, including R&D, would total 487 billion rubles ($16.3 bln) in 2010, 574 bln ($19.2 bln) in 2011, 726 bln ($24.3 bln) in 2012, and 1.16 trillion ($38.8 bln) in 2013.

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Update #1: Russia Releases Details on Defense Spending through 2013 -- Defpro
Update #2: Russia discloses defense spendings first time since 2005 -- Xinhuanet
Update #3: Russia announced the amount of Defense spending for airplanes, submarines and missiles until 2013 -- Avionews

My Comment: Bottom line .... they are spending and spending and spending.