Finance
Russia's oil and gas revenue halved in January y/y to lowest since July 2020
Published by Global Banking and Finance Review
Posted on February 4, 2026
2 min readLast updated: February 4, 2026
Quick Summary
Russia's oil and gas revenues halved in January, reaching the lowest since July 2020, due to lower crude prices and a stronger rouble.
Russia's Oil and Gas Revenues Plummet to Lowest Since July 2020
Analysis of Russia's Oil and Gas Revenue Decline
MOSCOW, Feb 4 (Reuters) - Russian state oil and gas revenues halved in January compared to the same month of last year, hitting their lowest level since July 2020, according to finance ministry data.
Factors Contributing to Revenue Drop
The decline was due to lower crude prices and a stronger rouble. Oil and gas revenues are crucial for Russia's state budget, which ran a deficit of 5.6 trillion roubles or 2.6% of gross domestic product in 2025.
Impact on Federal Budget
The January figure of 393.3 billion roubles ($5.10 billion) was down from 447.8 billion roubles in December.
Future Revenue Projections
Oil and gas revenue is the leading source of cash for the Kremlin, making up nearly a quarter of federal budget proceeds that have been drained by heavy defence and security spending since Russia began its military campaign in Ukraine in February 2022.
The budget is projected to collect 8.92 trillion roubles from oil and gas sales this year. Total budget revenues for 2026 are seen at 40.283 trillion roubles.
Last year, Russia's federal budget revenues from oil and gas dropped 24% to 8.48 trillion roubles, the lowest level since 2020.
($1 = 77.1000 roubles)
(Reporting by Anton Kolodyazhnyy and Darya Korsunskaya; writing by Vladimir Soldatkin; Editing by Mark Trevelyan)
Key Takeaways
- •Russia's oil and gas revenue halved in January year-on-year.
- •Revenue levels are the lowest since July 2020.
- •Decline due to lower crude prices and stronger rouble.
- •Oil and gas revenue is crucial for Russia's budget.
- •Projected budget revenues for 2026 are 40.283 trillion roubles.
Frequently Asked Questions about Russia's oil and gas revenue halved in January y/y to lowest since July 2020
1What is oil and gas revenue?
Oil and gas revenue refers to the income generated from the extraction and sale of oil and natural gas resources. This revenue is crucial for countries that rely heavily on these resources for their economic stability and budget funding.
2What is the significance of the rouble?
The rouble is the currency of Russia, and its value can influence the country's economic performance. A stronger rouble can reduce the revenue generated from oil and gas exports, affecting the national budget.
