The Russian government has significantly slashed the 2025 budgets for the majority of its priority domestic technology initiatives, diverting financial resources to sustain unprecedented military expenditures amid widening fiscal deficits.
A recent analysis by the Moscow-based Center for Macroeconomic Analysis and Short-Term Forecasting (CMASF) indicates that allocations for eight primary “technological leadership” programs were cut by nearly 38%. The revised federal budget provides 201.9 billion rubles ($2.6 billion) for these sectors, down from the initially planned 324.4 billion rubles ($4.2 billion).
The space technology sector experienced the most severe reduction, losing its entire scheduled 10 billion ruble ($129 million) budget.
Initiatives focused on domestic machine tools and industrial robotics – grouped under the Means of Production and Automation national project – saw their funding drop by more than 75%, falling from a planned 52.2 billion rubles to 11.8 billion rubles ($152.2 million).
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