{"id":288367,"date":"2025-11-13T03:40:16","date_gmt":"2025-11-13T03:40:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/288367\/"},"modified":"2025-11-13T03:40:16","modified_gmt":"2025-11-13T03:40:16","slug":"record-drop-in-price-of-russian-oil-due-to-us-sanctions-leads-to-return-of-budget-deficit-novaya-gazeta-europe","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/288367\/","title":{"rendered":"Record drop in price of Russian oil due to US sanctions leads to return of budget deficit \u2014 Novaya Gazeta Europe"},"content":{"rendered":"

Russia\u2019s federal budget once again ran a deficit in October, with expenditure exceeding revenue by some 400 billion rubles (\u20ac4.2 billion) and bringing this year\u2019s current shortfall to 4.2 trillion rubles (\u20ac44.6 billion), or 1.9% of GDP, business daily Kommersant reported<\/a> on Wednesday, citing the Finance Ministry.<\/p>\n

In the first 10 months of the year, federal tax revenue earned from the country\u2019s oil and gas industries decreased by 21.4%, to 7.5 trillion rubles (\u20ac79.6 billion), compared to the same period in 2024. Kommersant blamed the falling price for Urals crude oil and a stronger ruble. Only March, August and September witnessed a budget surplus so far this year. <\/p>\n

Russian oil prices have sunk<\/a> to their lowest level since the beginning of the year, according to Kommersant, with oil at ports in the Baltic and Black Sea selling for almost $20 per barrel lower than the price of Brent crude oil since the US imposed<\/a> sanctions on Russia\u2019s two largest oil companies Lukoil and Rosneft at the end of October.<\/p>\n

A statement on the US Treasury Department website said that its imposition of sanctions came \u201cas a result of Russia\u2019s lack of serious commitment to a peace process to end the war in Ukraine\u201d and aimed to \u201cdegrade the Kremlin\u2019s ability to raise revenue for its war machine and support its weakened economy\u201d.<\/p>\n

The price for Urals crude oil was $19.4 cheaper per barrel than benchmark Brent crude on 10 November, Kommersant continued, while in early November, the discount was equivalent to $13\u201314 per barrel, and just $11\u201312 prior to October\u2019s sanctions. However, according to experts who spoke to Kommersant, Russian oil prices are likely to return to levels seen in early autumn once the market has stabilised.<\/p>\n

In further signs of a slowdown in the Russian economy, the Institute for the Study of War (ISW) reported<\/a> on Monday that German Gref, the head of Russia\u2019s Sberbank, had told Vladimir Putin that the bank was experiencing only \u201cvery modest\u201d growth due to \u201cchallenging macroeconomic conditions\u201d, with growth this year being worse than expected. The ISW said Gref\u2019s statements were notable as the Kremlin had been keen \u201cto portray the Russian economy as stable and strong\u201d.<\/p>\n","protected":false},"excerpt":{"rendered":"Russia\u2019s federal budget once again ran a deficit in October, with expenditure exceeding revenue by some 400 billion…\n","protected":false},"author":2,"featured_media":288368,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[51968,28,101,18758,1076,51963,6270,51966,51967,51965,51962,51964,34451,16992,1208,1139],"class_list":["post-288367","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-azar","tag-business","tag-economy","tag-eu","tag-europe","tag-gorbachev","tag-investigation","tag-kostyuchenko","tag-latynina","tag-martynov","tag-novaya-gazeta-europe","tag-politkovskaya","tag-putin","tag-stories","tag-ukraine","tag-war"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/288367","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=288367"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/288367\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/288368"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=288367"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=288367"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=288367"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}