Russia drafts 30% innovation spending cuts; Skolkovo and Rusnano first to suffer
Russia’s draft federal budget for the next three years calls for a substantial curtailment of government funding for innovation; the Skolkovo and Rusnano projects might lose 30%
Jul 22, 2013
According to the Ministry source, Russia is considering re-prioritizing budgetary flows as "the budget is getting increasingly socially-oriented," calling for greater spending on orphans, affordable housing and other major programs.
"Plans are to cut by 20-to-30% the government funding of innovation activity, including the Rusnano and Skolkovo projects," the Ministry source emphasized.
These plans appear to run counter to the government’s intention to enhance allocations for both fundamental and applied sciences voiced in a recent statement by Arkady Dvorkovich, the deputy prime minister of Russia.
Each year Skolkovo receives between $450m and $600m from federal coffers, and Rusnano, Russia’s largest nanotech company, gets between $900m and $1.5bn. With the most recent curtailment plans approved the projects stand to lose up to $300m in government support.
Izvestia also quoted Yevgeny Fyodorov from the United Russia party in the State Duma as confirming plans for an up to 30% reduction of innovation project funding. He underscored that specific numbers wouldn’t be officially known until the fall of 2013 when the Russian Ministry of Finance is expected to complete its draft. The representative pointed out, however, that the overall trend for the 2014 federal budget is a sweeping cutback in all areas, except socially-oriented segments.
"Russia’s tightening its belts. Some budget line items will decrease by 10% as a minimum, while some others will shed 20-to-30%," Mr. Fyodorov said.
"Plans are to cut by 20-to-30% the government funding of innovation activity, including the Rusnano and Skolkovo projects," the Ministry source emphasized.
These plans appear to run counter to the government’s intention to enhance allocations for both fundamental and applied sciences voiced in a recent statement by Arkady Dvorkovich, the deputy prime minister of Russia.
Each year Skolkovo receives between $450m and $600m from federal coffers, and Rusnano, Russia’s largest nanotech company, gets between $900m and $1.5bn. With the most recent curtailment plans approved the projects stand to lose up to $300m in government support.
Izvestia also quoted Yevgeny Fyodorov from the United Russia party in the State Duma as confirming plans for an up to 30% reduction of innovation project funding. He underscored that specific numbers wouldn’t be officially known until the fall of 2013 when the Russian Ministry of Finance is expected to complete its draft. The representative pointed out, however, that the overall trend for the 2014 federal budget is a sweeping cutback in all areas, except socially-oriented segments.
"Russia’s tightening its belts. Some budget line items will decrease by 10% as a minimum, while some others will shed 20-to-30%," Mr. Fyodorov said.