Kuban's public debt exceeded 146.22 billion rubles

Public debt of the Krasnodar Territory in October 2016. increased again and as of November 1 exceeded 146 billion 22.4 million rubles.

The largest part of the debt came from budget loans - 66.7 billion rubles and bank loans - 61.18 billion rubles. In addition, 10.9 billion rubles. amounted to the region's obligations under state guarantees, and 7.2 billion rubles. - on securities, RBC reports citing materials from the regional Ministry of Finance.

To service the national debt of Kuban in 2016. it is planned to allocate 7.5 billion rubles. (data from the regional Ministry of Finance).

Vice-Governor Igor Galas announced back in August of this year that the Krasnodar Territory is unable to reduce the amount of the state debt . He also noted that the state debt, which has increased the region, is “uncomfortable” for the region, limiting the possibilities for economic and social development of the region.

A high debt burden is the main problem of the region's budget, because this figure has been increasing since 2010. (until 2009, Kuban had one of the lowest debt levels in the Russian Federation - 7 billion rubles). A significant part of Kuban’s public debt is loans to support the Olympics . The regional budget had to finance a number of expenses for holding the Olympics and Formula 1 in Sochi, as well as issue guarantees for related facilities.

As a result, in 2014 the volume of Kuban's public debt increased 19.5 times (compared to the 2009 level) and amounted to 136.3 billion rubles. At the end of 2015 Kuban has already taken second place in the Russian Federation in terms of public debt (145 billion rubles). As of March 1, 2016, Kuban’s public debt exceeded 150.255 billion rubles, thus Kuban has accumulated the largest public debt among Russian regions .

As previously reported, no more than 4% of the region’s budget expenditures are spent annually on servicing the public debt . For example, in 2016 it is planned to allocate 7.5 billion rubles to service the state debt.

According to the latest data from the Ministry of Finance, the volume of Kuban budget revenues for this year is planned to be 195.25 billion rubles, expenses - 197.46 billion rubles. Thus, the regional treasury deficit should amount to 2.2 billion rubles.

In order to somehow cover the region's budget deficit, the Krasnodar Territory in early March of this year announced a series of auctions to raise 9 billion rubles, several of them have already been won by Sberbank , which will provide Kuban with multi-billion dollar loans to cover the budget deficit.

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