The Kremlin increases defense spending but tries to conceal it from Russians - ISW.

The Russian government plans to increase defense spending in 2025, reports the Institute for the Study of War. However, the Kremlin emphasizes the planned spending on social sectors and avoids the topic of increasing defense expenditures.

The Russian Cabinet of Ministers approved the federal budget draft for 2025-2027. According to the draft, federal revenues of Russia in 2025 will increase by almost 12% compared to 2024, and the share of non-oil and gas revenues in the federal budget will rise to 73%.

According to the document, the Russian government plans to spend 13.2 trillion rubles (about 140 billion dollars) on defense in 2025 - more than the 10.4 trillion rubles (about 110 billion dollars) planned for 2024.

Russia plans to spend approximately 40% on national defense and internal security in 2025. This is more than the spending on education, healthcare, social policy, and the federal economy combined. The Kremlin will also increase spending on classified items.

The Russian government plans to fulfill "all social obligations to citizens" and fund healthcare, pensions, and national projects.

Finance Minister Anton Siluanov stated that significant resources are directed towards the "special military operation", but the funding for national projects will be twice as much as before.

Funds are also planned to be allocated for the modernization of communal infrastructure and preferential mortgage programs.

"Kremlin officials are likely afraid of war fatigue among the population and are trying to boost public support for the war by emphasizing the Kremlin's focus on social projects," the ISW report states.