Russian defense budget hits record high

Russia's military spending is projected to reach its highest level ever in 2026, amounting to approximately 17 trillion rubles (199 billion dollars), representing an increase of nearly 40% over the original plan. This surge reflects the Kremlin's conviction that the conflict in Ukraine will continue and intensify, with Russia preparing for costly military campaigns in the coming years. The increase follows the failure of diplomatic efforts to reach a political settlement, leading to expanded military spending and a growing budget deficit, which experts predict could deepen to more than 7 trillion rubles. The rise in funding coincides with escalation of Russian military operations in Ukraine, including the use of advanced techniques and an expansion of attacks on Ukrainian infrastructure, amid ongoing active military confrontation from both sides. Military spending is expected to keep rising through 2029, with budgets planned to exceed 200 billion dollars annually. This trend is accompanied by heightened tensions with Europe and warnings from Putin about Moscow’s readiness to utilize its full military arsenal, indicating Russia's preparation for a protracted war that will place increasing burdens on its economy.

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