Erdogan & Putin to Discuss Ties, Aide Calls for RUB 700bn Budget Expansion

LOCAL NEWS

• Erdogan-Putin meeting to focus on trade, economic cooperation and developments in Syria, Libya, Afghanistan and the Caucasus. Erdogan is hoping to expand trade to $100bn/yr, while Peskov also showed an interest in improving trade and economic ties.
  • However, key touchpoints remain on Turkey's assistance to Ukraine in terms of drone purchases and non-recognition of Russia in Crimea.
  • On the Syria front, experts aren't predicting any major breakthroughs due to the complexity of the issue – but calls for a de-escalation may be made
• Presidential aide Oreshkin demanded to adjust the draft budget for 2022-2024 to reflect a RUB 700bn increase for next year. While the document is still yet to be finalised and could still be increased, a source close to Govt says there are no plans as of yet to increase the amount. – vedomosti: https://www.vedomosti.ru/economics/articles/2021/0...
• Russian government to consider a draft law on amendments to the Tax Code at a meeting today, providing for new rates of fees for the use of aquatic biological resources.
  • Amendments will increase budget revenues from the annual fee for the use of aquatic biological resources by almost 10 times - from 2.2 billion to 21 billion rubles.
• Kremlin says it is ready to discuss the resumption of direct gas purchases by Ukraine if it is necessary. Notes representatives from Ukraine's gas monopoly and Gazprom have shown an interest in these discussions

Data:

• 1700BST: CPI weekly YTD, prior 4.9%
• 1700BST: CPI WoW, prior 0.1%