MOSCOW (Reuters) – The price of Russia’s oil blend in roubles so far in March is on average around 24% below the level targeted in the federal budget for 2025 due to the currency’s firming and weaker global oil prices, according to Reuters calculations.
The drop will likely cause more strain on the budget, already under pressure from high military spending.
The rouble has rallied since the middle of January amid hopes of a settlement to the conflict in Ukraine.
It has averaged 87.4 per $1 so far this month, from 92.9 roubles in February.
Russia is using a basket of Urals and more expensive ESPO Blend crudes when calculating the average price of Russia’s oil blend for taxation.
At the same time, the price of Russia’s flagship Urals crude has declined to $58.14 per barrel this month from $61.69 per barrel in February.
According to Reuters calculations, the Urals price may average around 4,975 roubles per barrel in March, down 26% from the 6,726 roubles projected in the federal budget and almost 14% lower than February’s 5,733 roubles.
(Reporting by Reuters. Editing by Mark Potter)
