Lawmakers in Russia’s upper house of parliament on Wednesday approved an almost 30 percent hike in defense spending next year, committing the country to yet more huge outlays as it wages its military offensive against Ukraine.
Moscow had already ramped up military spending to levels not seen since the Soviet era, pumping out missiles and drones to fire on Ukraine and paying lucrative salaries to its hundreds of thousands of frontline soldiers.
The 2025 budget will see a record 13.5 trillion rubles ($125 billion) spent on “national defense,” more than outlays for welfare and education combined.
That figure does not include some other resources being directed to the military campaign, such as spending that Russia labels as “domestic security” and some outlays classified as top secret.
The budget will now be sent to President Vladimir Putin to sign into law.
Putin said earlier this year Moscow was spending close to nine percent of its economy on defense and security — the highest level since the Cold War.
The spending surge comes amid economic jitters in Russia, with businesses and households reeling over rising inflation and a weakening ruble.
The value of the Russian currency has plummeted in recent weeks amid mounting fears of a major escalation of the conflict in Ukraine.
The ruble, seen by Russians as a bellwether for the country’s economic health, traded around 75-80 to the dollar before the start of the offensive but weakened this week to over 105 against the US currency.
