PRESS: Govt can raise education, healthcare spending after elections
MOSCOW, Jan 15 (PRIME) -- The Russian government is seeking ways to raise spending on education, healthcare and infrastructure after the presidential elections under an unofficial request by President Vladimir Putin, business daily Vedomosti reported Monday, citing federal government officials.
Alexei Kudrin, former finance minister and chairman of the Center for Strategic Research board, offered to finance an increase of spending by easing the budget rule with the oil price threshold for reserves rising to U.S. $45 per barrel from $40.
Kudrin said that the measure would help to raise spending on education by 0.8% of gross domestic product (GDP), on healthcare by 0.7% of GDP and on infrastructure by 0.8% of GDP by 2024 as compared with 2017.
Officials from the Finance Ministry said that reduction of the informal economy share would help with finding money for healthcare and education. The Economic Development Ministry agreed with this and added that structural reforms boosting economic growth would also be of use, the daily reported.
Increasing the personal income tax and luxury goods excises, as well as raising the retirement age and introducing co-financing of healthcare services by people are also being discussed, one of the officials said.