The government expects the new State Duma to approve the postponement of regional repayments on budget loans to 2031–2033. Prime Minister Mikhail Mishustin said this at a government meeting on Thursday. The move is expected to free up almost RUB 300 bln in regional budgets over the next three-year period.
‘This autumn, a bill on payments for 2027–2029 will be submitted to the State Duma. These payments will accordingly be moved to 2031–2033. We expect the new State Duma to support this initiative,’ he said at the government meeting.
A day earlier, President Vladimir Putin said that regional spending was expected to increase by the end of 2026 and that the regions would receive additional support by postponing budget-loan repayments beyond 2030. He specifically asked the government to pay attention to the condition of regional finances.
‘In the first half of this year, both revenues and expenditures of the consolidated budgets of Russia’s regions increased by 5.9%. The overall deficit was RUB 160 bln, almost the same as a year ago. However, by the end of the year the regions expect spending to increase… We decided to provide additional support to regional budgets by moving the repayment deadline for budget loans beyond 2030,’ Putin said.
The measure will leave the regions with an additional RUB 100 bln a year at their disposal for the next four years. They will be able to use the funds for development purposes, the president added. Finance Minister Anton Siluanov said that postponing loan repayments would help strengthen the resilience of regional finances. The relevant bill will be submitted in the autumn as part of the budget package. This will free up almost RUB 300 bln in regional budgets over the next three years.
Additional budget support is also being provided to Russia’s new regions. On Thursday, the government ordered the allocation of more than RUB 4 bln to support utility infrastructure in Kherson Region and the Luhansk People’s Republic (LPR). ‘Active infrastructure restoration is under way there, including engineering infrastructure. We will allocate more than RUB 4.1 bln to these two regions to support housing and utilities, including the purchase of equipment, network repairs, funding current expenses and compensating heat, water-supply and wastewater-service providers,’ the prime minister said. He added that the government was providing systematic support to the regions of Donbas and Novorossiya. ‘This applies equally to the Luhansk People’s Republic and Kherson Region,’ he stressed.
Another item on the meeting’s agenda was the renewal of the ambulance fleet.
‘Ambulance workers must have all the necessary conditions, the full range of modern equipment and technical capabilities. The government is systematically working on this, funding supplies of the latest diagnostic and treatment equipment, essential medicines and the construction of advanced medical centres. During working trips around the country, we can clearly see how medical infrastructure is being modernised and improved,’ Mishustin said.
The government will allocate more than RUB 1 bln to purchase ambulances. By the end of this year, almost 20 regions will receive about 200 Russian-made vehicles.
‘This will help renew ambulance fleets in many regions, raising the standard and, most importantly, improving the timeliness of emergency medical care locally,’ the prime minister said. The government previously said it had allocated RUB 2.46 bln to Kherson Region to support budgetary stability, including the purchase of ambulances.
Despite budget support, shortages of ambulances remain a problem in Russian cities. In March, for example, it was reported that Yekaterinburg’s ambulance service would also serve five neighbouring cities. Under current standards, there should be approximately one ambulance crew per 10,000 residents. The six cities, with a combined population of about 2 mln, require around 190 vehicles. In reality, only 86 are currently operating, leaving a shortfall of more than 100 vehicles. Local media reported that, for example, a city with a population of 92,000 is served by four vehicles, two of which are regularly sent to assist Yekaterinburg.
The overall number of ambulance stations in Russia is also declining. Over the past 20 years, their number has almost halved, from 3,200 in 2005 to 1,700 in 2025. At the same time, more than 37 mln people sought emergency medical assistance in Russia during 2025, of whom almost 13 mln were hospitalised, Health Minister Mikhail Murashko said in April. More than 12,000 ambulance crews are on duty around the clock every day, he said. Today’s ambulance service operates on very different principles from the past: crews are equipped with tablets containing electronic patient records for the people they are dispatched to see.
Murashko said this data is then transferred to emergency departments. It is subsequently analysed using artificial intelligence, with patients’ conditions prioritised and risks to their health assessed.
Sergei Bagnenko, the Health Ministry’s chief freelance specialist in emergency medical care, has also identified shortages of ambulance drivers as a problem. He has also pointed to a shortage of specialised ambulance crews. Their introduction, he said, would require a restructuring of the entire emergency medical system, including the creation of medical districts and subordinate ambulance stations.
The government meeting’s agenda also included subsidies for regional budgets to renew public transport fleets in 2026 and during the planned period of 2027–2028. Earlier this week, Prime Minister Mikhail Mishustin announced that mechanisms for long-term contracts to supply public transport to the regions were being developed. He also recalled that the issue had previously been discussed at a State Council meeting attended by President Vladimir Putin.
‘The head of state stressed that the financial capacity of the regions varies, and the terms of co-financing from the federal budget should reflect this. The issue of establishing mechanisms for long-term contracts with equipment manufacturers was therefore discussed. This would help keep manufacturing plants that produce transport vehicles loaded with orders and guarantee demand. Russian regions would then be able to plan fleet purchases on a stable basis,’ the prime minister said. He also noted that about RUB 30 bln is allocated annually from the federal budget to renew public transport in the regions.
‘Various support instruments have also been created for regions to renew public transport, including subsidised leasing, the urban electric transport programme and treasury infrastructure loans. Another important mechanism is the write-off of two-thirds of regional budget-loan debt when the funds are directed towards these purposes,’ Mishustin said.
The Transport Ministry, meanwhile, has proposed linking federal support measures for regional public transport to passenger satisfaction ratings. Deputy Transport Minister Alexei Shilo said on Thursday:
‘We have proposed approaches under which support measures, including federal support, will be linked to the assessments given by our citizens of public transport. Those who perform better and offer new solutions will receive more support for renewing rolling stock, developing infrastructure and, among other things, co-financing transport operations.’
Public transport modernisation is being carried out as part of the national ‘Infrastructure for Life’ project. In June, the government allocated more than RUB 10 bln to four regions to renew public transport in 2026–2028. Volgograd, Kursk, Nizhny Novgorod and Saratov regions received the subsidies. The authorities said the funds would be used to purchase modern electric buses and build the necessary charging infrastructure. They will also finance the repair and development of tram infrastructure.
At the same time, high levels of public transport wear and tear remain a problem in a number of Russian regions. According to the Transport Ministry, 64% of urban electric transport infrastructure in the regions is worn out, while 46% of rolling stock is also in need of replacement.
‘The data we have today show wear of more than 50% in tram tracks and overhead contact networks. We need to renew more than 2,700 km of tram tracks, 7,200 km of contact networks, 147 depots and more than 900 traction substations. If we simply calculate the cost of renewing this infrastructure based on comparable facilities, the figure exceeds RUB 1.4 tn,’ Deputy Transport Minister Alexei Shilo told the Federation Council in April. This is a very large amount that, unfortunately, is not currently provided for in the budget, he added.
Under the existing ‘Infrastructure for Life’ national project, the authorities plan to increase the share of public transport in good regulatory condition to 85% by 2030. As of March 2026, the share of urban public transport meeting regulatory standards stood at 72%, according to Rosstat.
ORIGINAL:NG/The Next State Duma Has Work Lined up for the Benefit of the Regions
