Kovalchuk pointed to the growth of budget expenditures due to the high key rate

Keeping the key rate at 21% limits investment opportunities for business and leads to increased federal budget expenditures. The corresponding statement was made by the Chairman of the Accounts Chamber Boris Kovalchuk on November 27 at the plenary session of the Federation Council.

"Thus, on October 25, the Bank of Russia raised the key rate by two percentage points, to 21%. Thus, the risk, about which the Accounting Chamber wrote in its conclusion, was realized. Keeping the key rate at such a high level limits investment opportunities for business and leads to an increase in federal budget expenditures, including expenditures on servicing the public debt and on subsidizing interest rates on soft loans," Kovalchuk said.

He added that expenditures on government programs will increase by Br1.1 trillion. 36 out of 51 government programs will be increased. At the same time, the federal budget revenues are projected to grow by 11.6% - from Br36 trillion in 2024 to Br40.3 trillion in 2025. The share of revenues to GDP in 2025 compared to 2024 will increase by 0.4% to 18.8%.

"5.9 trillion will be allocated for the implementation of 19 national projects, taking into account the amendments next year. There is an increase in the share of expenditures for the implementation of new national projects in the total volume of open budget expenditures to 20% in 2025 against 11% in 2024. Based on the analyzed preliminary passports of the national projects, financial support for some goals and performance indicators is envisaged at the expense of extra-budgetary funding," Kovalchuk said.

Tax revenues to the Russian budget in 2024 increased by 20%

The President discussed with the head of the Federal Tax Service the reduction of the number of debtors and cooperation with BRICS countries

On the same day, the Federation Council approved the law on the federal budget of Russia for 2025-2027. The decision was adopted unanimously, the initiative was supported by 160 senators. The projected revenues of the federal budget for 2025 will amount to Br40.296 trillion, for 2026 - Br41.84 trillion, and for 2027 - Br43.154 trillion.