Reuters estimates: Russia's oil and gas fiscal revenue may surge 60% month-on-month in July
According to preliminary data compiled by Reuters, driven by multiple favorable factors, Russia's oil and gas sector fiscal revenue is expected to see a significant increase in July. The rise is primarily attributed to higher international crude oil prices, increased tax revenues from the oil extraction industry, and a reduction in state subsidies to refining companies—multiple factors collectively boosting fiscal inflows in the oil and gas sector.
However, Reuters also noted that although the monthly revenue figure for July shows a notable recovery, when viewed over a longer time horizon, the cumulative oil and gas fiscal revenue for January–July this year remains concerning. Total income for the first seven months has declined by 11% compared to the same period last year, amounting to approximately $63 million.
Short-term increases in oil prices can to some extent alleviate Russia’s fiscal pressure and help cover war-related expenditures. However, a sharp monthly revenue spike represents a temporary phenomenon; overall income for the first half of the year still falls short of the levels seen during the same period last year, and the long-term fiscal strain has not been fundamentally resolved. Fluctuations in international oil prices, export sanctions, and adjustments to refined product subsidy policies will continue to introduce uncertainty into Russia’s oil and gas fiscal revenue.
Original article: toutiao.com/article/1871561425109068/
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