Russia's Oil and Gas Tax Revenues Fall 17% as Output Disruptions Strain Budget
Russia's oil and gas tax revenues fell 17% in the first nine months of 2026, as disrupted production and exports and a stronger rouble offset higher crude prices.
RUSSIA,ECONOMY
Global N Press
10/5/20261 min read
MOSCOW, October 5, 2026 — Russia's oil and gas tax revenues fell 17% in the first nine months of 2026, despite a sharp rise in crude prices, as disrupted production and exports and a stronger rouble weighed on government income. Finance Ministry data showed receipts from oil and gas production taxes declined to 5.47 trillion roubles ($64.43 billion), from 6.61 trillion roubles a year earlier. Russia's Urals crude traded above $92 a barrel at the end of September, more than double its price before the Iran war, but higher prices did not offset the effects of lower output and export disruptions. Russian oil production fell to 8.718 million barrels per day in August, its lowest level in 17 years, from 9.240 million barrels per day in January.
Ukrainian drone attacks on refineries and disruptions to shipments through the Black Sea port of Novorossiysk have affected operations. Oil and gas account for about one-fifth of Russian budget tax revenues, making the decline significant as the government faces growing fiscal demands. Russia's 2026 budget deficit is expected to reach 3% of gross domestic product, almost twice the original target. A stronger rouble has also reduced the domestic-currency value of dollar-denominated energy earnings. The figures highlight the limits of relying on higher global oil prices when production, transport and exchange rates move against exporters.
