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. Last Updated: 07/27/2016

Budget Chief Unveils '93 Spending Plan

The government's 1993 spending plan calls for a 15 trillion ruble ($15 billion) deficit and includes tax measures that have not yet been approved by lawmakers, Alexander Pochinok, the chairman of the parliament's budget committee, said Monday.

Pochinok said the plan called for "a very big budget deficit" and counts revenue from new or increased excise taxes on coal, gas and oil that have not yet been approved by the parliament, according to Interfax.

He also said the 7 percent of projected budget income was to come from payments to the agricultural and coal industries from a new value-added tax.

The government had forecast a 1993 budget deficit of 10 or 11 trillion rubles.

It has promised to cut the deficit as part of a deal with the Russian Central Bank to control spending and bring inflation down to 10 percent by December.

The agreement was designed to gain approval from the International Monetary Fund for the first half of a $3 billion loan.

Prime Minister Viktor Chernomyrdin has asked all ministries to cut their spending on social services by 20 percent.

Pochinok noted that the budget calls for a 15 percent cut in expenditures for social services and a cut in pension fund contributions. But he said a special law would be needed for pension spending to be reduced.

The plan also "seriously decreases" the budgets of the Constitutional Court and the parliament, and suggests taking away money from the Central Bank to pay for agricultural needs, he said.

Pochinok said the government budget does not list its hard-currency expenditures and that the parliament had asked for those details.