The Russian Federation significantly exceeded its planned military expenditures for the war against Ukraine in 2025. By the end of the year, the military budget of the Russian Federation amounted to $198.8 billion, which is 7.3% of its GDP and $30 billion more than the initially allocated amounts. Thus, the aggressor country spends about $2.7 billion per week on the war solely through the Ministry of Defense, while additional payments are made by regional budgets: they finance military contracts, compensation for the families of the deceased, medical treatment, prosthetics, and burials.
This is reported by Business • Media
Record Gold Trade Between Russia and China
Due to the increase in military spending, Russia is actively selling off its reserves. In November, China purchased $961 million worth of gold from Russia — the largest deal in the history of precious metal trading between these countries. High sales volumes have been recorded for the second consecutive month: in October, gold exports from Russia to China amounted to $930 million. In the first 11 months of 2025, China imported $1.9 billion worth of Russian gold, nearly eight times higher than last year’s figure for the same period.
“According to the Russian Ministry of Defense, total expenditures will reach $198.8 billion or 7.3% of GDP. This is $30 billion more than what was allocated in the Russian budget.”
Export of Cheap LNG and Deployment of Nuclear Icebreakers
In addition to gold, Russia is increasing its supplies of liquefied natural gas (LNG) to China. In November, exports of this resource reached a record 1.6 million tons, double the level of the same month in 2024. Due to sanctions and the loss of the European market, Russian LNG for China in November was the cheapest — about $9.85 per million BTU, which is 10% lower than the average market price.
Since August, China has begun purchasing cargoes from the sanctioned Russian plant “Arctic LNG 2.” To support exports and avoid disruptions, Russia has had to deploy all its nuclear icebreakers in the Arctic for the first time. They ensure the passage of tankers carrying oil, LNG, and other valuable minerals from Siberia, allowing the aggressor country to maintain its presence in the international energy resource market.