MOSCOW: Russia’s budget deficit remained at 0.5% of gross domestic product (GDP) in June, the same as in May, the finance ministry said on Tuesday.

Revenues for the first six months of the year were 38% higher than the same period of 2023, the ministry said, citing preliminary data.

Oil and gas revenues were 68.5% higher and non-oil and gas revenues were up 26.6%. In early 2023, Western sanctions over the conflict in Ukraine that included an oil price cap and oil embargo squeezed Russia’s energy revenues.

Moscow expects budget revenues and expenditure to sharply increase this year.

Russian rouble strengthens slightly against the dollar

The finance ministry tweaked its budget plan for 2024 in early June, now expecting to spend more and see slightly lower energy revenues to leave a full-year deficit of 1.1% of GDP, or 2.12 trillion roubles ($23.81 billion).

The ministry plans to spend 37.18 trillion roubles over the year and attract 35.06 trillion in revenues. Spending in January-June was 22.3% higher than in the same period of 2023.