Pensions a priority in Russian budget

Russia's first three-year budget will enhance macro-economic stability in Russia – that's according to the Russian President’s speech at Monday's meeting with ministers.

Russia is moving from a one-year budget to three years for the period from 2008-2011.

Speaking at the meeting, Finance Minister, Aleksey Kudrin, declared that the budget will see a 44% expenditure increase with more money going to innovation, energy infrastructure, aviation, and shipbuilding.

But the Minister was also keen to note improvements to the pension system.

“We are increasing expenditure in a number of areas, but first comes the pension system.  More than $US 50 BLN will be allocated to it and this will allow us to increase pensions by 65% in the next three years,” promised Mr Kudrin.