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Russia Sets New Military Spending Record at $142.25B as War Costs Climb to $20.9M Per Hour for Moscow
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Russia's defense spending reached an unprecedented $142.25 billion between January and September 2025, according to The Moscow Times on December 11, citing data from Janis Kluge, a researcher at the German Institute for International Security Affairs.
This marks a 30% increase in military and arms production expenditures, compared to the same period in 2024, as reported by the outlet. Compared to 2023, Russia’s military budget surged by 95%. The figures for 2022 show a rise of 173%, and the increase is even more dramatic compared to pre-war 2021, where the defense budget has grown by 295%.
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On average, Russia’s military expenditure amounts to $13.2 billion per month, or approximately 43.4 billion rubles per day. This translates to about $19 million per hour.
A significant portion—59%—of the military budget remains classified. In the first three quarters of the year, open defense spending amounted to $48.16 billion, while classified expenditures totaled $70.38 billion, as reported by The Moscow Times. This “shadow” budget has increased by 39% compared to the previous year, and by five times compared to pre-war figures.
Russia has allocated 44% of its total tax revenue to fund the war, and 39% of the federal budget expenditure is dedicated to military needs. Both of these proportions set new records—compared to 39% and 36% last year and 18.4% and 19% in 2021.
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Since the war’s commencement in early 2022, the total cost of the war for Russian taxpayers has reached approximately $542 billion. This sum is equivalent to 24 years of Russia's higher education budget, 22 years of healthcare expenditure, and nearly 80 years of budgets for major and wealthy regions, such as Sverdlovsk and Krasnodar, The Moscow Times reported.
For 2026, the Russian government has earmarked $154.8 billion for "national defense" and 3.91 trillion rubles for “national security,” which includes expenditures for the Ministry of Internal Affairs, National Guard, intelligence agencies, and the FSIN. Together, these sectors will receive 16.84 trillion rubles, or 38% of the total budget. This marks a 1.6-fold increase compared to pre-war 2021, when the share was 24%.
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Despite potential diplomatic progress, the Kremlin has made it clear that it has no intention of cutting military expenditure. According to a source close to the Russian government, “Ammunition and drones will still need to be produced, although in slightly reduced quantities. The confrontation will continue, and defense spending will rise, as the West is also ramping up its own defense capabilities.”
Earlier, Russian leader Vladimir Putin issued a decree to mobilize reservists for military training sessions in 2026. Military experts and the US-based Institute for the Study of War view this move as part of a new phase of covert mobilization aimed at reinforcing the troops engaged in the war in Ukraine.
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