Russian budget deficit expected at 1 percent of GDP

February 2nd, 2012 - 12:23 pm ICT by IANS  

Moscow, Feb 2 (IANS/RIA Novosti) The federal budget deficit this year may come in at 1 percent of GDP, Russian Deputy Economic Development Minister Andrei Klepach said Wednesday.

The forecast is based on the assumption that the budgetary revenue base this year will be higher than last year, also factoring in oil price dynamics, he said, adding that GDP will therefore also be higher.

Last year the federal budget had a surplus of 0.8 percent of GDP amid soaring oil prices.

This year’s deficit may be covered by issuing domestic debt of about 1 trillion rubles.

–IANS/RIA Novosti
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