In a June 2023 report, the Stockholm International Peace Research Institute (SIPRI) assessed that Russia’s military spending budget for 2023 is around 6.6 trillion rubles (USD $85.8bn).
In addition, Russia almost certainly faces extra direct budgetary defence costs due to the war, including security expenses in the occupied regions and defensive measures in regions bordering Ukraine.
Russia’s true military expenditure remains uncertain due to a lack of transparency, including the use of classified budget lines, which account for approximately 22 per cent of the Russian Government’s total budget.
This equates to about 4.4 per cent of Russian GDP compared with 3.6 per cent in 2021, before the invasion of Ukraine.
Although only part of the defence budget is spent on the war in Ukraine, the increase in spending highlights the cost of Russia’s activity in Ukraine.
