Russia to cut budget spending by another 15 percent: ReportFebruary 16th, 2009 - 5:31 pm ICT by IANS
Moscow, Feb 16 (RIA Novosti) The Russian government has instructed ministries to cut spending by another 15 percent on top of the 15 percent budget cuts approved late last year, a business paper reported Monday.
Budget cuts will affect all budget fund recipients, except courts.
The biggest cut will hit the energy ministry (33 percent) and the transport ministry (30 percent), while the least affected will be the education ministry (11 percent), the State Duma (12 percent) and the foreign ministry (12 percent), Vedomosti reported.
The figure for each ministry depends on the number of protected budget spending items, such as wages, stipends, other social obligations, debt service, and also expenditures on the 2014 Winter Olympic Games in the Black Sea resort of Sochi and the Asia-Pacific Economic Cooperation summit in Vladivostok in Russia’s Far East in 2012, the paper reported.
The budget sequester will enable the government to save 1.5 trillion rubles ($43 billion), bringing the total budget reduction figure to 17 percent, as only unprotected budget items were cut by 15 percent in both cases, Yelena Lebedinskaya from the Economic Expert Group told Vedomosti.