The Central Bank of Russia has begun an unprecedented sale of gold reserves to cover the growing deficit in the federal budget caused by military expenditures. According to an analysis conducted by The Moscow Times and published by RBC-Ukraine, over the last six months, Moscow has sold record volumes of precious metals.

Historic Low in Gold Reserves

Statistics show that since the beginning of 2026, Russia's gold reserves have decreased by 43.5 tons. In June alone, the aggressor state dumped 9.33 tons of gold. In total, during the reporting period, the Central Bank sold 44 tons of the metal. Experts note that this is a record sale in at least the last 25 years—the entire period covered by the statistics of the World Gold Council.

For comparison: even at the height of the coronavirus pandemic, when the global economy was in shock, Russia sold six times less gold than it is now. Asset disposal operations allowed the Kremlin to earn about $5.6 billion.

Funding the War and the Budget Hole

The main reason for such an aggressive policy of selling reserves is the need to "plug the hole" in the federal budget. Since the beginning of 2026, the deficit has increased to almost 6 trillion rubles. These funds are critical for continuing military operations against Ukraine.

Freedom Global analyst Vladimir Chernov explained the mechanism of these operations. According to him, when oil and gas revenues fall below the level provided for by the budget rule, or when fund funds are directed to domestic investments, the Bank of Russia conducts counter-operations with liquid reserve assets.

The expert also emphasized that the Central Bank's decision was influenced by the significant increase in the cost of gold in recent years, which made its sale more profitable for replenishing the treasury.

Economic Consequences

The depletion of the "golden cushion" indicates that the economic crisis in the Russian Federation has gone beyond a fuel deficit and affected strategic reserves. Previously, RBC-Ukraine reported that the hole in the Russian budget is growing rapidly precisely due to the war against Ukraine. At the same time, the Office of the President of Ukraine explained the mechanism of the new "hellish sanctions" by the US, which exacerbate the situation of the Russian economy.