Moscow government sends 2021 draft budget to local parliament for approval

The Moscow government has approved a draft law on the city budget for 2021 and the planning period of 2022–2023 and submitted it to the Moscow City Duma.

The budget includes a planned deficit of 510 billion rubles (about $6.4 billion) for 20201, which is then set to decrease gradually to 341 billion ($4.3 billion) in 2022, and 183 billion in 2023 ($2.3 billion). For comparison, Moscow’s 2020 budget deficit amounted to 350 billion rubles ($4.4 billion).

In an official statement, the Moscow Mayor’s Office underscored that regardless of the fall in budget revenues due to the coronavirus pandemic, all social spending will be maintained at the same levels as in 2020.

The mayor’s office also noted that Moscow will be entering the borrowing market for the first time in 10 years. The Russian capital plans to borrow up to 396 billion rubles (nearly $5 billion) in 2021.