Mereja.Forum

[MINILIK SALSAWI]

International Centre for Defence and Security

( Veli-Pekka Tynkkynen .. Non-Resident Research Fellow)

Hydrocarbon revenues remain central to Russia’s economic resilience and its ability to finance the war against Ukraine.

Although Russia is less dependent on oil and gas than many petrostates—and hydrocarbon revenues now account for roughly one-third of federal budget income, down from 50% in the 2010s—oil and gas continue to function as the backbone of the Russian economy. Oil in particular dominates, accounting for more than one-third of total export revenues, and the sector generates substantial spillover effects across the broader economy. At the same time, military and security-related expenditures consume over one third of the state budget, rising to as much as 40% when all security costs are included, underscoring the strategic importance of energy revenues for sustaining Russia’s war effort. READ FULL ARTICLE https://icds.ee/en/draining-fuel-from-t ... s-outlook/