Published by Global Banking & Finance Review®
Posted on July 22, 2025
2 min readLast updated: January 22, 2026
Russia's oil and gas revenue is projected to drop by 37% in July due to lower oil prices and a stronger rouble, affecting the federal budget.
MOSCOW (Reuters) -Russian state oil and gas revenue is set to fall in July by around 37% from the same month in 2024 to 680 billion roubles ($8.66 billion) due to cheaper oil and a stronger local currency, Reuters calculations show.
Oil and gas revenue has been the most important source of cash for the Kremlin, making up a quarter of total federal budget proceeds.
The proceeds are also set to increase by 37% from June due to cyclical payments of oil profit-based tax.
The decline in proceeds is painful for Russia, which has heavily boosted defence and security spending since launching its military campaign in Ukraine, which it calls a special military operation, in February 2022.
According to Reuters calculations, the average Russian oil price calculated in roubles has stayed below the federal budget's target for 2025.
Russia's oil and gas revenue for January-July could decline by 20% year-on-year to 5.4 trillion roubles, according to Reuters calculations.
The finance ministry will publish its estimates on August 5.
The ministry had initially planned to earn 10.94 trillion roubles from oil and gas sales this year, but due to falling oil prices, it revised that expectation down to 8.32 trillion roubles.
Oil and gas revenue reached 11.13 trillion roubles last year.
($1 = 78.5000 roubles)
(Reporting by ReutersEditing by Bernadette Baum)
Russia's oil and gas revenue is set to fall by around 37% in July, amounting to 680 billion roubles ($8.66 billion).
The decline is attributed to cheaper oil prices and a stronger local currency, which has impacted revenue significantly.
Oil and gas revenue is crucial for the Kremlin, accounting for a quarter of total federal budget proceeds, making any decline particularly painful.
The finance ministry is expected to publish its estimates on August 5.
The ministry initially planned to earn 10.94 trillion roubles from oil and gas sales but revised this expectation down to 8.32 trillion roubles due to falling prices.
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