Russia Considers Additional Tax on Commodity Producers and Banks

Russia is contemplating imposing an extra tax on certain commodity producers and banks to address budget deficits arising from increased war-related expenditures, according to informed sources. The Kremlin has not yet made a final decision, and detailed discussions are expected to occur later this year with the commencement of a new budget cycle. Potential targets for the tax include major commodity companies such as top gold producer Polyus PJSC and mining giant Norilsk Nickel, as well as some private banks. According to Jin10, Russia's economy experienced a slowdown last year due to expanding budget deficits, prompting the government to seek additional revenue sources, including raising the value-added tax rate starting this year.