OREANDA-NEWS  The Russian Ministry of Finance wanted to optimize budget spending and suggested ways to increase spending efficiency. RBC reports on the new principles of allocating funds with reference to the draft amendments to the legislation.

The agency proposed to limit the possibility of transferring balances on state contracts and subsidies for the next year. Currently, unused funds can be used to finance similar items of expenditure next year. However, the Ministry of Finance proposes to ban this step with the exception of state contracts and subsidies for financing defense orders or international obligations.

For accepted but unfulfilled budget obligations, the agency proposed a separate transfer mechanism using the government's reserve fund. The budget managers will transfer the remaining funds to it at the end of the year, and the fund, in turn, will allocate them according to a simplified procedure.