The draft budget for 2017 was able to balance with a 3% deficit, said the President of Russia Vladimir Putin, speaking at the forum “Russia calling!” organized by “VTB Capital”.
“The draft budget will be considered by the government tomorrow. The budget for 2017 was able to balance with a 3% deficit. It is an acceptable level, even compared to leading economies of the world”, – quotes the head of the state Agency “Interfax”.
According to the President, “we are well aware that our economy is significant value and need to be very careful with it during the budget process and budget execution”.
Putin also said that in relation to GDP, Federal budget expenditure will decrease from 19.8% in 2016 to 18.5% next year and 16.2% in 2019.
“We all understand that this is not an easy task, but we believe that the task is correctly formulated, and very carefully going to move this way without violating our obligations in the social sphere to the citizens of Russia”, – Putin said.
In addition, the President said that Russia will seek a compromise between the limitation of inefficient spending and increase the efficiency of government spending.
“The truth is always somewhere in the middle, and we try to choose a middle ground. We will limit inefficient spending and increase the efficiency of public spending in almost all areas”, – said the President.
Vladimir Putin also said that Western sanctions against Russia “harm not only our country but also foreign partners.”
“We often repeat the mantra that these so-called notorious sanctions on us is not really affected. Affect. And above all, the threat I see to limit the transfer of technology. This, incidentally, is not only detrimental to the Russian economy, but the global economy as a whole,” he said.
As explained by the President, the Russian economy is an important sector of global economy. “Therefore, those who do are hurting themselves in the end”, – said the head of state.
“But I think we, yeah, we will,” – said Vladimir Putin.