PM: Russian 2016 budget deficit may overshoot planned 3%

GORKI, Moscow Region, Aug 23 (PRIME) -- Russia’s budget deficit may exceed 3% of the gross domestic product (GDP) in 2016, Prime Minister Dmitry Medvedev said Tuesday after a government meeting.

“The expected deficit this year will amount to more than 3%. It is higher than planned, naturally, we will do everything we can to keep the deficit in the framework of the guidance,” he said.

“Still, the scenario is possible as the deficit was assumed at 3% under an oil price of U.S. $50 per barrel. Deficit may grow if the oil price falls below $50 per barrel.”

The Finance Ministry forecasts federal budget deficit of 3.2% of GDP in 2016. On August 15, the ministry said that the deficit amounted to 1.521 trillion rubles in January–July, or 3.3% of GDP under preliminary estimates.

(64.2078 rubles – U.S. $1)

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