Russia's government submitted its 2027-2029 federal budget draft to the State Duma on 1 October 2026, projecting deficits for three more years with heavy defense spending. A cabinet reshuffle on 19-21 October made Finance Minister Siluanov a deputy prime minister as well.
What a Korean company can do now
Government · leader
President Vladimir Putin / Prime Minister Mikhail Mishustin
Key national agenda
- Sustaining defense and security spending (about RUB 17.15 trn in 2027)
- Social spending on pensions, health and education
- Housing support such as family mortgages
- Transport infrastructure and Northern Sea Route development
- Raising revenue (VAT etc.) and managing the fiscal deficit
Government programmes
2027-2029 federal budget draftDefense about RUB 17.15 trn (2027)
2027 deficit projected at about RUB 5.5 trn (about 2% of GDP), financed largely by more bond issuance
Transport state programRUB 1.75 trn (2027), RUB 2.1 trn (2028)
Investment in roads, rail and other transport networks
Family mortgage subsidiesRUB 785.8 bn (2027)
Interest subsidies on preferential home loans for families with children
Health and education spendingAbout RUB 3.6 trn (2027)
About RUB 1.82 trn for health and 1.78 trn for education
Space activities and Northern Sea RouteSpace about RUB 337.6 bn (2027)
Space program funding and NSR development listed as priorities
Business opportunities
Sanctions and export-control compliance checks for Korean SMEs trading with Russia
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Alternative-market strategy for firms scaling back in Russia
Firms dependent on Russian sales are looking to diversify risk (estimated).
Korean manufacturers and consumer-goods exporters
AI and digital solutions for Russian government bodies and SOEs
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Free members get a human-reviewed summary by email for up to 3 countries a month (sent within 24h). BUILD members get them all.
Korean support schemes
- KOTRA trade offices in Russia (Moscow etc.) · KOTRA — Provides local market information along with updates on sanctions and customs issues.
- Strategic goods classification and Russia export-control checks (Yestrade) · MOTIE / Korea Strategic Trade Institute — System for checking whether items are strategic goods or need a situational license before export.
Official notices
Government of the Russian Federation
- 2026-10-01 2027-2029 federal budget draft submitted to the State Duma
- 2026-10-19 PM Mishustin announces reshuffle creating four new deputy PM posts
- 2026-10-21 State Duma confirms Siluanov (finance minister and deputy PM), Kozhemyako, Nikitin and Okladnikova as deputy PMs, and Yadrov as transport minister
Disaster · conflict · epidemic
High 2026-11-07
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Ukraine struck the Afipsky refinery in Krasnodar Krai (5–6 Nov, at least the fifth time this year) (single source) · War with Ukraine continues; Russia reports mass drone interceptions near Moscow (2–3 Nov, party claim) · Due to attend trilateral talks in Abu Dhabi on 10–11 Nov
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