The state debt of the Russian Federation exceeded 20 trillion rubles

As follows from the report of the Accounts Chamber, today the national debt is 17.7% of the projected level of GDP. Domestic debt increased by 9.7% to RUB 16.18 trillion. Its share in the total public debt rose to 79.3%. The report also says that the external debt of the Russian Federation increased by $ 1.83 billion and amounted to $ 58.54 billion, adding 3.2%. In ruble terms, the growth was 1.1%.

The Accounts Chamber noted that the first half of the year was characterized by a high rate of economic growth, but it was due to the effect of the low base of the last year.

“The record high growth in most major macroeconomic indicators is largely due to the low base of the previous year,” the report says.

Note that last month, for the first time since February 2021, the Ministry of Finance of Russia recognized the auction of federal loan bonds (OFZ) as invalid: investors showed no interest in buying the state debt of the Russian Federation.

Recall that earlier sanctions against the sovereign debt of the Russian Federation came into effect as a response to interference in the 2016 US elections and cyber attacks by Russian hackers close to the Russian state. In 2019, a ban was issued on participation in the placement of Eurobonds for American investors.

The Ministry of Finance insured itself and stopped issuing bonds denominated in dollars. Debt obligations issued by the Central Bank, the National Treasury Fund or the Ministry of Finance fell under the ban. American banks and financial institutions were prohibited from lending to Russian government agencies in any currency.