On the second anniversary of the annexation of four Ukrainian regions in violation of international law, the Kremlin announced that it wanted to increase its military spending more drastically. Missile and drone attacks on Ukraine continue.
Russia is apparently planning a drastic increase in military spending to further finance its war against Ukraine, which began in February 2022. As can be seen from the budget for 2025 published on the Russian Parliament's website, the expenditure officially recorded in the field of defense alone is expected to increase by around 30 percent to 13.5 trillion rubles (the equivalent of around 130 billion euros).
Further expenditure in the area of internal security as well as budget items classified as top secret are also planned for the military operation in Ukraine. Overall, the areas of defense and internal security make up around 40 percent of the entire Russian state budget planned for 2025, amounting to 41.5 trillion rubles. The draft budget must now be passed by the Russian Parliament in the fall and finally drawn up by President Vladimir Putin.
Further conversion to War economy
In recent years, Russia has already increased its military spending to its highest level since the end of the Soviet Union in order to ramp up production of rockets, cruise missiles and drones and increase the pay of combat units.
In 2024 alone, spending increased by 70 percent compared to the previous year. Since 2022, the Russian state has been pushing ahead with the transition to a war economy, including through the rapid development of new defense plants with hundreds of thousands of additional employees.
Putin on the second anniversary of the annexation
The budget was published on the second anniversary of Russia's annexation of the Ukrainian regions of Donetsk, Luhansk, Kherson and Zaporizhia in violation of international law. The Kremlin had previously held supposed referendums in the areas, which the West described as fraudulent.
To celebrate “Reunification Day” – as Russia calls the day – Putin repeated how he justified the invasion of Ukraine: It was about protecting the Russian-speaking minority against the Ukrainian “neo-Nazi dictatorship.” Putin underlined his country's determination: “All set goals will be achieved,” he said in a video message.
Map of Ukraine, hatched: territories occupied by Russia
Russia reports gains in territory in eastern Ukraine
For the 33rd night in a row, Russia fired missiles and drones at 11 regions of Ukraine. According to the Ukrainian Air Force, explosions and machine gun fire were again heard throughout the night in Kiev. The anti-aircraft defense fought the drone attack for around five hours. No injuries were reported. However, a “critical infrastructure object” in the Mykolaiv region caught fire, reported Governor Vitaly Kim.
Militarily, Russia has been able to continue its attacks in eastern Ukraine in recent weeks – despite a Ukrainian advance into the Russian border region of Kursk. Russia's army also reported further gains in territory in eastern Ukraine today, such as the “liberation” of the village of Nelipivka. The Russian information cannot currently be independently verified.
The Russian army appears to be taking advantage of Ukrainian soldiers' increasing fatigue after more than two and a half years of fighting and constant bombing. The most important target of the Russian advance is the rail and road transport hub Pokrovsk, through which supplies for the Ukrainian troops flow.
