Russia to Increase Defense Spending to Record Amount
The Facts
Russia looks poised to increase its spending on defense by over 28% next year. If approved, it would make it the highest figure spent on its military in the country's history.
In a draft budget on Monday sent to the State Douma — the lower house of the Russian legislative assembly — the country's government proposed spending 13.5T rubles (over $145B) on defense in 2025. It proposed spending 12.8T rubles ($140B) in 2026 and and 13.1 rubles ($144B) in 2027.
The Spin
Irrespective of the war in Ukraine and whether it comes to a close or not, the latest budget shows that Russian Pres. Putin is seeking a form of military Keynesianism — excessive spending on defense in the hopes it will revive Russia's fledgling economy.
Russia's budget is well thought-through and takes into consideration all the needs of the state so that all sectors are adequately funded to meet their needs.
