Russia to boost war budget, Putin orders increased defense spending for 2027‑2029

President Vladimir Putin instructed the State Duma to prepare a budget that prioritises defence spending for the next three years. He warned the West of a "Russophobia" machine and said no one could break the Russian people. The draft shows the defence line will be funded far beyond the planned 12.9 trillion roubles, with the military budget expected to exceed the plan by 4–5 trillion roubles. Analysts estimate that war costs have already reached 53.079 trillion roubles (about $746 billion), equivalent to decades of health, education and regional spending. To cover the shortfall, the Ministry of Finance is considering seizing civilian assets and taking on an additional 2–3 trillion roubles of debt, while the fiscal deficit in the first half of the year approached 6 trillion roubles despite a VAT hike to 22 percent.