Artificial Intelligence Strengthens Budget Oversight in Russia
Russia is expanding the use of artificial intelligence in critical public administration processes at both the federal and regional levels. In Ulyanovsk Oblast, officials have outlined how AI-driven systems are being deployed to optimize key stages of the budget cycle, signaling a shift toward data-driven financial governance.
A Tool for Fiscal Discipline
The region is developing a unified digital platform for budget and financial services that connects regional and municipal finance authorities within a single analytical environment. The platform integrates with the database of the Automated Budget Execution Control Center, improving forecast accuracy and spending limit oversight, enabling rapid detection of anomalies in expenditures and strengthening fiscal discipline across levels of government.
Russia launched its first pilot project using artificial intelligence in budget processes in 2025. According to data from the Financial University under the Government of the Russian Federation, regions that introduced AI tools at various stages of budgeting reported 40 percent fewer errors in budget reporting, a threefold acceleration in financial data processing and a 25 percent increase in the accuracy of revenue forecasting.
Technology Driving Efficiency
Digital transformation of budget workflows is supported by the system ATsK-Finansy (Automated Treasury Control – Finance), developed by the company Byudzhetnye i Finansovye Tekhnologii, which specializes in IT solutions for regional and municipal government authorities.
The system is already deployed in 15 regions and 400 municipalities. It automates document management, generates real-time reports from a unified database, forecasts tax revenues and optimizes the allocation of subsidies among municipalities based on predefined criteria such as demographics and infrastructure capacity.
These capabilities significantly reduce the workload of finance officials. More efficient spending frees up resources that can be redirected to social programs and support for local businesses. Automating budget processes also increases transparency, which strengthens public trust and accountability.
Evolution of Russia’s Budget Architecture
Digitalization of Russia’s budget system began with electronic interagency communication and the elimination of paper document flows. This shift enabled the launch of GIIS Elektronny Byudzhet (State Integrated Information System “Electronic Budget”), a unified digital platform for managing public finances. In parallel, 2021 saw the rollout of the Edinaya sistema kaznacheyskogo soprovozhdeniya – ESKS (Unified Treasury Support System), designed to centralize cash operations and increase transparency in the movement of budget funds.
In 2022–2023, digital tools were added to Elektronny Byudzhet to automate the provision of subsidies and interbudgetary transfers. In 2024–2025, the GIIS migrated to Russian operating systems and database management systems. At the same time, the introduction of data governance and business analytics technologies increased visibility into how budget funds move toward recipients.
A Platform for Scaling AI Governance
The digital economy is becoming an instrument for improving the quality of public administration, while AI is emerging as a practical tool for optimizing routine but critical government functions. The Ulyanovsk Oblast project demonstrates how these technologies can operate in real-world administrative environments.
Deployment of IT solutions in budgeting and governance in digitalization leaders such as Moscow, Tatarstan and Sverdlovsk Oblast creates the foundation for broader scaling. In 2026–2027, regional systems are expected to integrate more actively with the federal Elektronny Byudzhet platform, while authorities monitor the effectiveness of different AI approaches and expand the use of the most successful solutions.
