Russia plans to raise military spending by 27 per cent in 2027, according to draft budget documents reported by Reuters on September 28.

The draft sets defence expenditure at 17.1 trillion roubles, about $202.58 billion, up from 13.5 trillion roubles originally budgeted. Over three years, total military spending would reach 50 trillion roubles.

The figures underline how deeply the war in Ukraine has reshaped Russia’s public finances, with defence now dominating the federal budget as the conflict grinds on.

Western analysts say the spending reflects Moscow’s bet that it can outlast Ukraine and its backers economically. Critics argue the burden is straining civilian sectors from healthcare to infrastructure.

The budget still requires parliamentary approval. But with the Kremlin controlling the legislature, the increase is expected to pass largely unchanged. Economists warn the military build-up will crowd out civilian investment for years to come.