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Further Budget Reduction Is Possible
January 24, 2016 14:19


(Source: http://mynewsonline24.ru)

The government is discussing the possibility for further spending reduction of extra-decided solution of 10% sequestration. It was reported to Vedomosti by three federal officials.

According to one of them there are undetected possibilities for reduction in almost all government institutions – ministries, agencies, state corporations and public ownership enterprises.  He clarified that it concerns not only termination of staff but it concerns sale of assets and cost saving.

Press secretary of Prime Minister Mrs. Nataliya Timakova stated that there are many proposals but no decisions have been made.

According to another official the potential of some state corporations for reduction is rather more than 10%. The officer of finance and economic block of government thinks that if such low prices for oil remain for a long time 10% will be not enough to dispense.

The representative of the Ministry of Finance informed that the Ministry stayed to work with other agencies within the frames of guarantee on optimization for 10 % by refusing to comment any possibilities for further spending reduction. The decision concerning the sequestration of federal budget for 10% was made during the meeting with Prime Minister Mr. Dmitry Medvedev in December. This reduction as clarified by the Minister of Finance Mr. Anton Siluanov will save 512 billion rubles but it will not touch any social obligations.


Sources: http://lenta.ru 

Author: Anna Dorozhkina

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