On December 8, Russian Finance Minister Shiluanov stated that Russia’s fiscal deficit in 2022 will be 2% of the gross domestic product (GDP). In addition, Russia does not intend to use the state welfare fund to subsidize the fiscal deficit, and will seek a solution through the bond market. But Russia will use state welfare funds to invest in infrastructure projects.
Russian Finance Minister Shiluanov said that Russia will take a series of countermeasures in response to some countries setting price ceilings on Russia’s oil export prices. It is too early to tell what impact these price caps will have on Russia’s finances. Shiluanov said that these price-limiting measures are non-market behaviors that will have an impact on the world economy.