Russia posted a $29 billion deficit in the first quarter as energy revenue plummets — and it could spell trouble for the country's military bills

Mon, 04/10/2023 - 05:14

Vladimir Putin in Astana Kazakhstan — Russia's energy revenues may not be able to foot its military bills for long— the country just posted a $29 billion deficit in the first quarter.
Contributor/Getty Images

Russia's spending jumped 34% in 1Q to 8.1 trillion rubles, or $99 billion, amid the Ukraine war.
However, energy revenues plunged 45% to 1.6 trillion rubles due to boycotts and sanctions.
As a result, Russia posted a deficit of 2.4 trillion rubles in the first quarter of 2023.

Russia's falling energy revenues may not be able to foot its military bills for long — the country's just posted an almost $30 billion deficit in the first quarter.

The Kremlin has wildly reversed a 1.13-trillion-ruble, or $14 billion, surplus in the first quarter of 2022, to post a 2.4 trillion ruble quarterly budget deficit this year as the country's expenditures exceeded its revenues.