Anton Siluanov

Russia swung from a budget surplus to a deficit last year, officials have said, as authorities boost defense spending amid Moscow's assault on Ukraine.

The deficit reached 3.3 trillion rubles ($47 billion), or 2.3 percent of gross domestic product, Finance Minister Anton Siluanov told a government meeting.

The head of the Russian Central Bank warned yesterday that the country's economy faces pressure from abroad that could persist indefinitely, dampening hopes that conditions could return to what they were before Russia sent troops into Ukraine.

Russia expects to receive one trillion rubles in additional oil and gas revenues this year, the Russian finance minister said, adding that part of the unexpected revenue will be spent on Moscow's offensive in Ukraine.

BELGRADE - Russia has prolonged the loan term for $800-million credit provided to Serbia in 2013 until 2021, a document published on Russia's legal information website said Tuesday.

Russian Prime Minister Dmitry Medvedev said on Jan. 13 his country needed to be ready for the worst case economic scenario amid oil plunge, but said the situation for now was manageable.

Speaking at an economic forum in Moscow, Medvedev said the country needed to steel itself for tough times. 
"One needs to prepare for the worst scenario," he said.

Greek Prime Minister Alexis Tsipras and Russian President Vladimir Putin are expected to sign a preliminary agreement for Greece?s participation in Moscow?s planned extension of the so-called ?Turk Stream? gas pipeline through Greek territory during Tsipras?s visit on Thursday and Friday to Saint Petersburg.

European Union governments agreed June 17 to extend economic sanctions on Russia over its actions in Ukraine by six months until Jan. 31, diplomats said, maintaining unity in the West's tough stance toward Moscow. 

Russian Finance Minister Anton Siluanov said on Wednesday that the country's budget did not include plans to offer Greece financial help and that Russia did not plan to hold talks on restructuring Ukraine's debt.

"That's not factored into our budget," Siluanov said in response to a question from reporters about whether Russia was planning to offer Greece financial aid.

Greek PM Alexis Tsipras spoke on the phone with Russian President Vladimir Putin on Friday, with the issue of Greece joining a proposed BRICS development bank discussed as well as bilateral trade and energy cooperation.

President Vladimir Putin and Greek Prime Minister Alexis Tsipras discussed plans on Friday for a pipeline to carry Russian gas to Europe via Turkey and agreed to meet in Russia in two weeks, the Kremlin said.

It said the two leaders, who spoke by telephone, would meet at an annual business conference taking place in Russia's second city of St Petersburg on June 18-20.