The Russian State Duma, the lower house of the Russian parliament, passed the federal budget law for 2025 and the planning period 2026-2027 in November.
According to the law, signed by Putin, national defense spending will reach a record 13.5 trillion rubles ($126 billion) in 2025, which is more than 6 percent of Russia's GDP.
Spending on war and law enforcement exceeds spending on education, healthcare, social policy and the national economy combined.
The new three-year budget projects military spending to be slightly lower in 2026-2027: 12.8 trillion rubles ($114.9 billion) in 2026 and 13.1 trillion rubles ($122.4 billion) in 2027.
Total Russian budget spending for next year is planned at 41.47 trillion rubles ($387.3 billion), accounting for 19.3% of GDP. This is 1.17 trillion rubles ($15.9 billion) more than expected revenues.
The budget deficit is expected to be 2.18 trillion rubles ($20.3 billion) and 2.76 trillion rubles ($25.8 billion) in 2026 and 2027, respectively.
On 28 November, President Volodymyr Zelensky signed into law Ukraine's state budget for 2025.
The 2025 budget envisages spending 2.2 trillion hryvnias ($53 billion) on Ukraine's defense, which represents 26.3 percent of the country's projected gross domestic product (GDP).
On 12 November, Minister of Strategic Industries German Smetanin said that the budget envisaged UAH 55 billion ($1.3 billion) for arms production.
According to Smetanin, about 54.55 billion HR ($1.3 billion) will be directly allocated for the development and implementation of new technologies and the expansion of defense production capacity.
The minister added that the amount for 2025 is almost 3.5 billion hryvnias more ($84.4 million) than in 2024 | BGNES
