Episode Transcript
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slows. Full terms at mintmobile.com. Each
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week we turn the numbers in the
1:44
news upside down. We give them
1:46
a good shake and see which figures don't crumble
1:48
into dust. The
1:51
military might of Russia, or lack thereof, has
1:54
been in the news ever since their full-scale
1:56
invasion of Ukraine in 2022. particular
2:00
has been doing the rounds in recent
2:02
months that seems to express the terrifying
2:04
scale of the Russian war machine, that
2:07
Russia spends 40% of its
2:09
entire government budget on the
2:11
military. This claim has
2:14
turned up on podcasts. It's 2.5% Russia
2:16
has spent 40% of its budget on
2:18
defence. 40%? 40%? 40%? 40%? No. It's basically
2:23
all of it. It's percolating around on social
2:26
media and it's even been stated by the
2:28
head of the British military. The Russian economy
2:30
is being twisted even more out of shape.
2:34
Nearly 40% of all Russian public
2:37
expenditure is being spent on defence.
2:40
And you can see why it's caught so much attention.
2:42
If Russia is somehow managing to spend
2:44
nearly half its entire budget on the
2:46
military, well that seems like ominous news
2:49
for those facing it on the battlefield.
2:52
So, is it true? Does
2:54
Russia spend 40% of its budget
2:56
on the military? August
2:59
Manova has been looking into it for us. Many
3:05
things about the Russian state are shrouded
3:08
in mystery. But the original
3:10
source for this claim seems, on the
3:12
face of it, pretty straightforward.
3:14
It's the official Russian budget. The
3:17
official document is the draft
3:20
budget that was adopted in
3:22
Russia in, I think it was November
3:24
2023 and about 30%
3:27
of the budget was allocated
3:29
to defence and then
3:31
another around 10% to security
3:34
and public order. So
3:36
national security. This is
3:38
Bettina Rens, Professor of International Security
3:40
from Nottingham University in England. Already
3:43
you can see some ambiguity creeping
3:46
in. 30% of that spending is
3:48
on the military, 10%
3:52
is on security. It is a little bit
3:54
misleading to say that this all goes into
3:56
the war effort because of course Russia also
3:58
has a police service. and so on
4:00
that would be included in those numbers. It's
4:05
quite hard to say what proportion
4:07
of that 10% of security spending
4:09
should be counted. It
4:12
includes prisons, for example, which clearly
4:14
aren't part of the military, although
4:17
soldiers are recruited from prisons.
4:20
It includes border security, which mostly
4:22
is not military, although some of
4:25
the borders are also in a
4:27
war zone. So it's
4:29
quite vague as to what proportion
4:31
of spending should be classed as
4:33
military. It's probably below 40%, maybe
4:35
above 30%. But
4:40
for lack of a concrete answer, let's
4:42
err on the side of caution and
4:44
stick with the combined figure for
4:46
military and security. However,
4:49
this number itself comes with
4:51
an absolutely massive caveat. Here's
4:54
Richard Connolly, an economist of Russia,
4:56
from RUSI, the Royal United
4:58
Services Institute in London. The thing to
5:00
understand about Russia is there are two
5:03
types of spending. There is spending from
5:05
the federal budget, which includes military spending,
5:07
but there's also spending by regional and
5:09
local governments in Russia. Now, what
5:12
tends to happen is that defense expenditure,
5:15
big items like that, come out of
5:17
the federal budget, but spending on things
5:19
like health and education tend to come
5:21
from local or regional budgets. Together,
5:24
these two budgets are referred to as
5:26
the consolidated budget. And they are roughly
5:28
about equal in size. So the federal budget
5:30
is about the same size as the
5:32
sum of all of the local and regional
5:35
budgets. So when people say Russia
5:37
is spending 40% of its budget
5:39
on security-related items, that is only correct
5:41
if we think of it in terms
5:44
of it spending 40% of
5:46
the federal budget. It's actually spending closer to
5:48
20% of that consolidated
5:50
budget that includes all government spending
5:52
across Russia. So Russia
5:54
is spending 40% of its
5:56
federal budget on military and
5:58
security. But the... That equates to
6:00
more like 20% of its
6:03
total government spending when
6:05
you take regional and local
6:07
spending into account, which includes
6:09
things like hospitals and schools
6:12
you might expect to come from the central budget.
6:15
And up to a quarter of that 20% is
6:18
potentially being spent on internal
6:20
security. But
6:23
it's still not clear if this is actually
6:26
a big number or not. If
6:28
only there were a better way of
6:30
understanding Russian military spending, which would allow
6:33
us to compare it against other countries.
6:36
If we hear 40% of the budget that
6:38
sounds of course like an awful lot, I
6:41
would say the main point is that usually
6:44
military expenditure is expressed as
6:46
percentage of GDP of a
6:48
country's gross domestic product. So
6:51
if we convert it into percentage of
6:53
GDP, Russia is actually spending around 6%
6:55
to 7% of its
6:57
GDP on defense. Now
6:59
again we can say that this is high. This
7:01
is higher than what Russia spent until 2022. It's
7:05
about three times as much as most
7:07
Western European countries spent on their militaries.
7:10
But it's not as high as the Soviet Union spending
7:12
during the heydays of the Cold War. So
7:15
Russia spends 6 to 7% of
7:17
its GDP on defense, compared with 2% for the
7:20
UK, over 3% for the US
7:24
and less than 2% for China. But
7:27
this still doesn't tell you everything about the
7:29
spending power of the Russian military. For
7:32
that, you have to convert again into
7:34
dollars. Here's Richard
7:36
Connolly from RUSI again. With
7:38
military expenditure that is planned in the federal
7:41
budget of in excess of 10 trillion
7:43
rubles, that should amount to in the region of
7:45
about $120 billion. And
7:49
how does this compare with military spending
7:51
elsewhere? In dollar terms, the
7:53
biggest spenders in Europe are the
7:55
United Kingdom and France. And the
7:57
UK and France both spend... between
8:00
60 and 70 billion dollars a
8:02
year on their militaries. So if
8:04
Russia is spending 120 billion, it's
8:07
spending nearly twice as much as the
8:09
UK or nearly twice as much as
8:11
France. Of course, the biggest spender in
8:13
all of NATO is the United States.
8:16
And they still haven't agreed their budget for
8:18
2024, but it
8:20
should reach somewhere in the region of
8:23
about 800 billion dollars. So that gives
8:25
you some sense of the difference between
8:27
how much Russia spends on its military
8:30
and how much the United States spends.
8:32
And globally? It would make
8:34
Russia probably the third largest spender or
8:36
military item in the world. The United
8:38
States leads, China would be in second
8:40
place, and Russia would now
8:42
be in third place. So it spends
8:45
a lot, but it has a lot to spend that money
8:47
on. And what about Ukraine?
8:49
The country locked into the grinding
8:51
war with Russia. Or if we look at
8:53
Ukraine, if we look at its budget for the
8:55
year ahead, its total budget expenditure
8:57
is estimated to be in the region of
9:00
80 billion dollars, of
9:02
which about half, 40, maybe 45 billion,
9:06
is going to be spent on the military.
9:08
So you can see there that Ukraine will
9:10
be spending probably closer to 60% of its
9:13
budget on the military. That figure
9:15
is likely to rise as the
9:17
year goes on because the current
9:19
budget only includes spending up until
9:21
the summer on the military. And
9:24
so, of course, if the war carries on beyond the summer,
9:27
and Ukraine continues to spend in its current
9:29
race, then we can expect to see military
9:31
expenditure in Ukraine for
9:33
2024 of perhaps closer to 60 billion dollars.
9:36
So as you can see, it absorbs
9:38
a lot more of Ukraine's total expenditure
9:40
than it does for Russia. So
9:46
to sum up, Russia spends 40%
9:49
of its federal budget on military
9:51
and security combined. Although not all
9:53
of that is going into the
9:55
war effort, that's only around
9:57
20% of its total budget, equates
10:00
to around 6 or 7% of its
10:02
GDP. This is high,
10:04
Russia's become the third biggest military
10:06
spender in the world, but Ukraine
10:08
actually spends a higher proportion of
10:11
its budget attempting to repel the
10:13
invasion. Thanks to Olga
10:15
Smirnova for that report, and to
10:17
Professor Bettina Renz from Nottingham University
10:19
and Richard Connolly from WUSI. That's
10:22
it for this week, but if you've
10:24
seen a number you think we should
10:26
look at, please send us an email
10:28
to moreorless at bbc.co.uk. Until
10:31
next week, goodbye.
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