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The budget is prepared for war
Material posted: Publication date: 12-10-2016
Budget sequestration in 2016 on 374,5 billion rubles at the same time to increase defence spending this year on 678,8 RUB billion, Such a budget structure Ministry of Finance proposes to adopt the government on 5 October. The Finance Ministry is also preparing amendments to the Budget code, the Agency proposes to give the Minister of Finance authority to reallocate up to 10% of all costs in favor of law enforcement agencies without any coordination.

Budget redistribution

Virtually all the "civilian" expenditures of the Federal budget for the current 2016 shall be subject to reduction. This follows from the Finance Ministry published on Monday draft amendments to the law on the budget. According to the amendments, the spending departments of the state program and the own content is reduced by 374,5 billion rubles — 13,118 trillion to 12.7 trillion rubles This reduction already takes into account the government promised pensioners a one-time payment of five thousand for a total amount of RUB 227 billion In the same bill, the General budget expenditures increase by 304,3 bn RUB. from 16,098 trillion to 16.4 trillion.

Thus the budget was formed 678,8 billion rubles Recipients of this money in the open part of the budget do not appear.

This distribution of expenditures worsened the forecast of the budget deficit to 3.66% of GDP. Under the bill, the Finance Ministry expects budget deficit of more than 670 billion rubles from 2.3 trillion to 3 trillion rubles. in Addition, the Finance Ministry predicts the decrease of the revenues of 370 billion rubles., to 13.3 trillion rubles.
Those affected

In real terms most of the money the Ministry of Finance took out investment and social articles of the budget.

For example, in 2016, the state program "Development of transport system" will not receive 83.5 billion rubles. And the state program "Social support of citizens" will not be funded by 22.5 billion.

But as a percentage of the total level of expenditure is not the most significant spending cuts. Both programs will be reduced only by 1.9 and 9.4% for the established level of funding, respectively.

Earlier, the Finance Ministry explained that the average reduction will not exceed 10% of the total expenditure stipulated by the budgetary list. But in reality, the share of reductions for each of the spending units vary greatly. The percentage leader in reducing costs were the Kaliningrad oblast. The program of socio-economic development of the region this year are expected to decline by 58%, or 42.2 billion rubles.

Reduce be even the cost of Crimea — the program of socio-economic development of the region until 2020 in 2016 will be reduced by 15.6% or RUB 23.1 billion.

Under reduction will get even the cost of presidential activities of Vladimir Putin and his administration. We are talking about the reduction of the relevant budget by 1% or 97.8 million rubles Funding for the Prime Minister and the White house will shrink more and 2.5% or Less 148,6 mln. will only lose the Investigative Committee (0,3% of their costs) and the CEC (0.8 per cent).

Who won

Recipients 678,8 billion rubles, or 4.1% of the total budget expenditure, listed in the secret annexes of the budget, explained "Газете.Ru" a government source familiar with the agenda budget meetings with Prime Minister Dmitry Medvedev. According to the source, we are talking about the payment of state credits that were taken for the implementation of state defense orders in previous years, under government guarantees.

"The Finance Ministry believes that in this way he will be able to reduce the pressure of defense spending on the budget in years 2017-2019," says the official.

"Everyone was waiting for the sequester, and no one expected increases in spend — said, "Газете.Ru" Alexandra Suslina of the economic expert group. It is not clear what is behind this, but the economy is so not a priority for decision makers that they don't even try to pretend. They prioritize the defense industry and social sphere, the rest as a residual".

According to her, in such budgetary conditions investaktivnost will decline. "It is unclear what will happen: whether they then decide to raise taxes, or decide to print more money. And in a situation of uncertainty at high political risk to invest in long-term projects short-sighted", — said Suslina.

Note that in the civil budget exceptions. Growing, rather than declining, expenditures for "Public correspondence". Increased in 2016 and the costs of prosecution — 1.3 billion rubles.

Debate canceled

The Finance Ministry proposes to abandon the discussion of the optimization of budget expenditures in favour of security forces not only in the public space (this practice has been used for several years), but even among the other civil Ministers, deputies and senators.

Simultaneously with the amendments to the Federal budget by 2016, the government has introduced a bill amending the Budget code. "Газете.Ru" managed to get acquainted with these proposals. The amendments provide rights to the Minister of Finance to amend the budget "without making any changes to the Federal law on the Federal budget" in the amount of 10% of budgetary allocations, "provided the main Manager of means of the Federal budget."

According to the amendments, redistribution, under this paragraph only applies to authorities that implement state policy "in the field of defense, domestic Affairs, in the sphere of activities of National guard troops, in the field of civil protection, in the field of intelligence activities." The same procedure is proposed to redistribute the money to the execution of the President "authority in the sphere of mobilization preparation", support activities courier and state management in the field of security.

Redistributed in 2016 "civil" 678,8 bn of expenditure did not reach proposed limit, even half.

We can talk about 1.6 trillion rubles., which will be distributed personally by the Minister of Finance.

The formal explanation is that the increased burden on law enforcement agencies as a result of "cost optimization of the Federal budget" and along with "the optimization of their size and reform military service" and a rare modification of the budget. In these conditions "increasingly difficult to respond to the consequences of the changing geopolitical situation around Russia, with operational decision-making, including in terms of changes in the volume of financial support of areas of activity of the relevant Federal government agencies," reads the explanatory note.

The Ministry of Finance to comment on the reallocation of expenditure in favour of defence spending and changes to the Budget code of refused.

Petr Netreba, Elena Malysheva


Source: https://www.gazeta.ru/business/2016/10/03/10229015.shtml#page1


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