MOSCOW, October 11 (RIA Novosti) - Russia's lower chamber of parliament has passed the draft 2007 budget on a second reading.
The draft budget, that sets revenues at 6.965 trillion rubles ($259.02 billion), spending at 5.463 trillion rubles ($203.16 billion) and surplus at 1.502 trillion rubles ($55.86 billion), was supported by 325 members of the State Duma, against the 226 votes necessary for approval. Eighty-three MPs voted against the bill.
Among other spending items, the State Duma approved defense spending at 821.5 billion rubles ($30.55 billion); public sector costs, including salaries to statesmen, employees, the maintenance of courts, at 810.76 billion rubles ($30.15 billion); national security and law enforcement costs at 665 billion rubles ($24.73 billion); 278.55 billion rubles ($10.36 billion) on education; and 8.96 billion rubles ($333.21 million) on environmental protection.
GDP is forecast at 31.22 trillion rubles ($1.16 trillion), inflation at 6.5%-8%, and oil prices at $61 per barrel.
Oil receipts in excess of $27 per barrel will be channeled to the Stabilization Fund, set up in 2004 to accumulate windfall oil revenues, and is expected to reach 4.24 trillion rubles ($157.7 billion) in late 2007.
The draft budget is still to undergo third and even fourth reading, but will be adopted in October-November, or over a month earlier than usual, given that parliamentary and presidential elections are scheduled for next year.
