GFN – MOSCOW — Russia’s Finance Ministry will increase purchases of foreign currency and gold under the country’s budget rule by more than fivefold beginning October 7, with operations totaling 279.42 billion rubles through November 6.

The ministry said the new program will amount to 12.7 billion rubles per day, up from 2.5 billion rubles per day during the September 7–October 6 period, when total purchases were 55.6 billion rubles.

 

The increase follows stronger oil-and-gas revenues. The Finance Ministry expects 289.46 billion rubles in additional federal oil-and-gas revenue in October. After a 10.04 billion-ruble adjustment for September revenues, the resulting purchase amount is 279.42 billion rubles.

The Bank of Russia will also increase net foreign-currency purchases tied to the mechanism. After accounting for separate operations, daily net purchases will rise to 12.12 billion rubles from 1.92 billion rubles during the previous period.

Russia resumed purchases under the budget rule in May after a two-month pause in March and April. Daily purchases restarted at 5.8 billion rubles, rose to 9.9 billion in June, fell to 5.4 billion in July, and increased to 6.5 billion in August before dropping to 2.5 billion in September.

Earlier in the year, the Finance Ministry had been a seller. January sales totaled 192.1 billion rubles, or 12.8 billion rubles per day, while February sales reached 226.8 billion rubles, or 11.9 billion rubles per day.

The key distinction for gold markets is that Russia’s official announcement refers to a combined “foreign currency and gold” purchase program. It does not disclose how much of the 279.42 billion rubles will be allocated specifically to bullion.

The confirmed development is therefore a more than fivefold increase in Russia’s FX-and-gold budget-rule purchases.

Also notable: Russian reporting says this is the largest monthly budget-rule purchase program since November 2023.