Russian state spending significantly accelerated in January, fulfilling the unusually high proportion of annual spending plan for that month as the government plays catch up with the national projects
Things are happening in Russia – with change signalled both in the political and the economic policy settings. Russia's fiscal fortress is strong enough to make it impervious to sanctions, so time to focus on growth
Even though overall industrial production growth softened in 2019, some investment-driven sectors outperformed, including those focused on agriculture, oil downstream, chemicals, construction and transportation.
Russia entered 2020 with a spending backlog of around 1% of GDP, which the new cabinet may now start unwinding. With the budget breakeven oil price below $50/bbl there is some space to increase spending.
Efforts to investigate financial crimes have been largely unsuccessful due to endemic corruption within the judiciary.