British defense chiefs have said Russia had borrowed its largest cash in a single day to raise funds for the Ukraine war.
On Wednesday, Russia’s finance ministry issued $13.6 billion in debt, its largest single-day debt issuance ever, to continue Vladimir Putin’s invasion, according to the report.
The Ministry of Defence warned in its latest intelligence report that this money is an important way to sustain the country’s defence spending.
The ministry expects the fiscal environment to become more uncertain in the next year.
“On November 16 2022, Russia conducted its largest ever debt issuance in a single day, raising RUB 820 (USD $13.6billion),” the ministry added.
“This is important for Russia as debt issuance is a key mechanism to sustain defence spending, which has increased significantly since the invasion of Ukraine, ” continued in a post on its official Twitter account.
“Russia’s declared ‘national defence’ spending for 2023 is planned at approximately RUB 5 trillion (USD $84billion), a more than 40 per cent increase on the preliminary 2023 budget announced in 2021,” it said, adding, “Debt issuance is expensive during periods of uncertainty.”
“The size of this auction highly likely indicates the Russian Ministry of Finance perceives current conditions as relatively favourable but is anticipating an increasingly uncertain fiscal environment over the next year.”
This news comes as Russia claims to have successfully completed flight tests of its Satan-2 hypersonic missile and continues to carry out multiple missile strikes in Ukraine after suffering major setbacks.
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