Russia’s Reserve Fund has come to end

wallet-2292428_640

As it was announced on Thursday, December 7th, by Russian Minister of Finance, Anton Siluanov, the Reserve Fund of Russia will be fully spent in 2017, and 662 billion rubles ($11 billion – RRT) will be taken from the National Welfare Fund (NWF).

“This year we will fully use our reserves in the Reserve Fund. We will also use the funds of the National Welfare Fund, but at a lesser scale,” he said.

According to him, as of January 1st, 2018, the NWF will contain 3.7 trillion rubles (approx. $62.5 billion – RRT), which is slightly over 4% of GDP.

“At the same time, the liquid part will amount to 2.3 trillion rubles (approx. $39 billion – RRT),” the Finance Minister added.

Siluanov also said that the deficit of the federal budget in 2017 will not exceed 2% of GDP, which is lower than the initial expectations.

As of November 1st, the volume of the Reserve Fund amounted to 975.5 billion rubles ($16.9 billion), and the National Welfare Fund 4.014 trillion rubles ($69.36 billion). In July, the State Duma adopted a bill on the merger of the Reserve Fund and the National Welfare Fund. The association of funds will be completed no later than February 1st, 2018.

On December 6th, Russian President Vladimir Putin signed the federal budget for 2018 and the planned period of 2019 and 2020.

In August, Russia increased its investment in U.S. government bonds by$ 2.3 billion, to $105.4 billion.

Source: Lenta.Ru