Russia faces significant fiscal risks and must implement sustained adjustments.
Russia faced economic challenges due to the global crisis, but its strong financial position helped it weather the storm. To ensure long-term fiscal stability, Russia needs to make significant fiscal adjustments over the next few years. This includes reducing non-oil deficits and keeping total spending low. By aligning non-oil deficits with oil revenues, Russia can achieve sustainable fiscal policy. The social security system's needs and tax reductions pose risks to fiscal sustainability.