
Dagestan and Chechnya are among the largest recipients of budget transfers in Russia

In 2021, Dagestan is in first place among Russian regions regarding subsidies to equalize budgetary provision. In total, the region will receive 889 million euros. Chechnya is also near the top of the list, receiving a sum of 402 million euros.
In 2020, Dagestan, Chechnya, and Ingushetia became leaders in terms of received federal aid. Budgetary investments in Dagestan amounted to more than 1.63 billion euros, in Chechnya - 1.29 billion euros.
Dagestan is in first place concerning subsidies in 2021. This data comes from the planned budget figures on subsidies for equalising the budgetary provision of the regions. The total amount of such subsidies will amount to 8.74 billion euros.
Dagestan will receive 889 million euros from the allocated this year. The three leaders are also Yakutia (621 million euros) and the Kamchatka Territory (500 million euros). In fourth place is another region of the North Caucasian Federal District - Chechnya, which is planned to be allocated 402 million euros.
Among the leading regions in terms of subsidies is also the Stavropol Territory with 292 million euros.
It is difficult to adequately assess the socio-economic situation in the Caucasus because of the high share of the shadow economy in these regions, Natalya Zubarevich, professor of the Faculty of Geography of Moscow State University told.
In June 2017, Finance Minister Anton Siluanov said that financial assistance to Chechnya is allocated according to a special scheme that does not apply to other Russian regions: the Ministry of Finance distributes subsidies to the republic based on the volume of regional budget expenditures. However, the head of Chechnya, Ramzan Kadyrov, has repeatedly expressed dissatisfaction with the republic’s financing.
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