Russia’s Ministry of Finance has warned that the Russian federal budget is in a black hole amid oil and gas revenues to be hit hard in April by a staggering “113.6 billion rubles.”
Western sanctions has hit Vladimir Putin’s war chest and the Russian economy hard and ordinary citizens are struggling to make ends meet.
Putin is reliant on oil and gas revenues to fund the war in Ukraine and foreign currency sales have also taken a huge hit.
Ministry of Finance said on Telegram, “On oil and gas revenues and transactions for the purchase/sale of foreign currency in the domestic foreign exchange market.
“The expected volume of additional oil and gas revenues of the federal budget is projected in April 2023 in the amount of -113.6 billion rubles.
“The deviation of actually received oil and gas revenues from the expected monthly volume of oil and gas revenues in March 2023 amounted to RUB 39.0 billion.
“Thus, the total amount of funds allocated for the sale of foreign currency is 74.6 billion rubles.
“Operations will be carried out from April 7, 2023 to May 5, 2023, respectively, the daily volume of foreign currency sales will amount to the equivalent of 3.7 billion rubles.”
Gazprom are now reliant on China and the Russian energy company are expected to reach maximum capacity as they are increasing supplies to China.
Last week Gazprom’s chairman said that gas supplies are going through the Siberian pipeline to China who are Russia’s top export market.