In accordance with the budget law, federal budget expenditures are to reach RUR2.66 trillion ($90.94bn) in 2004, and budget revenues will amount to RUR2.74 trillion ($93.68bn). The estimate for the gross domestic product of Russia for 2004 is RUR15.3 trillion ($523.08bn). The forecast for the annual inflation rate (for the period from December 2004 until December 2003) is 10 percent. The budget surplus of RUR83.4bn ($2.85bn) will be used for the formation of a Stabilization Fund in accordance with the procedure specified in the budget law.

The 2004 federal budget will allocate RUR77bn (about $2.63bn) for federal and local governments, some RUR45bn (about $1.54bn) for foreign affairs, about RUR412bn (about $14.08bn) for defense, and some RUR311bn (about $10.63bn) for law enforcement and national security.

The manufacturing, energy and construction industries are to receive around RUR67bn (about $2.29bn), agriculture and fishery – about RUR32bn (about $1.09bn), prevention and elimination of emergencies – RUR26.2bn (about $895.63m), education – RUR118bn (about $4.03bn), healthcare and physical training – RUR47.1bn (about $1.61bn), and social policies – RUR161.2bn (about $5.51bn).

Additionally, the document envisages RUR175.81bn (about $6.01bn) in financial aid to Russia’s regions and republics next year. It also suggests the program of foreign state borrowings, including $3.04bn in untied credits, and up to $612m in targeted loans. The total volume of foreign state borrowings will amount to $3.562bn in 2004.