Russia to Tighten Budget Fiscal Rule as Oil and Gas Revenues Plunge
Market Intelligence Analysis
AI-PoweredRussia is considering lowering its oil price threshold for sending excess revenue to its wealth fund due to plummeting oil and gas revenues, indicating a potential shift in its fiscal policy.
Market impact analysis based on bearish sentiment with 80% confidence.
Article Context
The Russian government is considering lowering the oil price level above which it sends the proceeds to its wealth fund as the Kremlin’s oil and gas revenues are plummeting with widening discounts and key buyers like India pulling out of the spot market. Under the so-called budget rule, Russia had a baseline price of $60 per barrel of oil for 2025. At prices above $60 per barrel for its oil, Moscow funnels excess revenue to its National Wealth Fund, a rainy-day reserves fund. However, when the price is below $60 per…
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