MOSCOW – Russia is trying to reduce spending from its sovereign wealth fund, as its economy’s backbone threatens by the global shift away from fossil fuels.
Russian President Vladimir Putin ordered that the government raise the threshold to tap into the $190 trillion National Wealth Fund. This fund holds a portion of country’s oil and gas proceeds. The liquid portion of the assets must be 7% to allow authorities to make investments from it. Putin wants that that amount be increased to 10% GDP. This would reduce spending by the fund.