Draft law of budget for 2016 under consideration by State Duma

The Russian government today submitted a draft law on the budget for 2016 to the State Duma, as well as the main directions of tax policy, the main directions of fiscal policy and the main indicators of socio-economic development forecast for the next three years.

The 2016 budget is fundamentally different from a similar document which was prepared in 2014. For the next year, the government is creating a one-year budget, without considering the forecasts for 2017-2018. Also, the effect of fiscal rule – according to which the maximum level of expenditures is determined based on the average oil prices over the previous three years – is cancelled for the following year, TASS reports.