Russia spent $4.8 bln from rainy day fund to finance budget deficit in Nov

Russia's finance ministry on Friday said the government had spent 300 billion roubles ($4.8 billion) from the National Wealth Fund (NWF) in November on financing the budget deficit, as Russia diverts more money to its military campaign in Ukraine.

Russia's finance ministry on Friday said the government had spent 300 billion roubles ($4.8 billion) from the National Wealth Fund (NWF) in November on financing the budget deficit, as Russia diverts more money to its military campaign in Ukraine. The ministry had said in October it was drawing down 1 trillion roubles from the NWF, Russia's rainy day fund, with a view to spending it to help cover the budget deficit - forecast to reach around 2% of GDP this year and next.

The NWF stood at $186.5 billion as of Dec. 1, equivalent to 8.5% of Russia's projected gross domestic product for this year. Surging domestic security and defence spending are set to cause funding for schools and hospitals to be slashed next year. ($1 = 62.5000 roubles)