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Russia 2027 Budget Explained: More for Army, Less for Schools

Russia plans to spend record amounts on its military in 2027 while cutting money for schools, hospitals and welfare. Budget documents released this week show the sharpest shift yet in war spending.

Defence spending will rise to 17.1 trillion roubles, about 202.58 billion dollars. That is 27 percent more than the 13.5 trillion originally budgeted this year. It would be the highest defence spending since Russia invaded Ukraine in 2022.

The money comes from cuts elsewhere. Welfare spending drops 7 percent. Education loses 6 percent. Healthcare falls 6.8 percent. Spending on the national economy shrinks 7.4 percent.

Ordinary Russians will feel it through higher taxes and rising utility bills. The government has approved tax rises, and bigger-than-expected utility tariff hikes are planned for next year.

Reuters says the cuts reflect the cost of nearly four and a half years of war. Russia has tapped its reserve fund, borrowed more and repeatedly missed deficit targets.

United Russia holds a constitutional majority, so the budget is expected to pass. Critics say the poorest Russians are paying for the war.

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