4 March 2026

Russia’s federal budget deficit for 2025 turned out to be around 26% higher than officially reported, reaching approximately 3.6% of GDP.

Source: Intelligence data from Germany’s Federal Intelligence Service (BND), as cited by Ukrinform

Details: It is noted that Russia is attempting to conceal the real figures through falsified statistics.

According to the report, almost all sectors of the Russian economy are showing negative dynamics and, “unless comprehensive countermeasures are taken, the structural problems of an economy heavily dependent on the energy sector will deepen over the long term and could become chronic.”

“Russia’s oil-based economy is suffering not only from the heavy tax burden Putin is using to finance his war. Drone attacks and sanctions are eroding Russia’s most important source of foreign currency. Due to Western sanctions, Russia is forced to sell its oil at a significant discount to global prices,” the report states.

According to the BND’s assessment, India – which, together with China, is among the largest buyers of Russian oil – “has already significantly reduced its oil imports under US pressure.”

“US sanctions are leading to a sharp decline in Russia’s revenues from oil and LNG exports,” German intelligence officials believe.

It is also separately noted that trust in Russia’s official statistics continues to decline, while “Russia’s investment attractiveness has turned into an unpredictable risk.”

Background: According to Germany’s Federal Intelligence Service (BND), in 2025, Russia’s military spending amounted to roughly half of its total budget and about 10% of its GDP.

https://www.pravda.com.ua/eng/news/2026/03/04/8023892