Russia Can’t Pay Its Soldiers: Yakutia Freezes Military Bonuses Over Budget Crisis

Yakutia has temporarily suspended payments to Russian military personnel due to a regional budget shortfall and an inability to forecast demand, according to regional officials.

Finance Minister of the Republic of Sakha (Yakutia), Ivan Alekseev, confirmed the pause in payments during a local television broadcast on November 21.

He cited difficulties in predicting how many individuals would require the funds, stating: “Unfortunately, we really have this situation. However, the government has done the work, the necessary funds have been found, and an order will be issued in the coming days so that all payments will be made.”

Alekseev did not specify which payments were affected. According to Yakutsk Online, the republic had previously allocated up to 2.6 million rubles (approximately $29,000) per contract soldier, with contributions divided among federal (400,000 rubles—$4,500), regional (1.8 million rubles—$20,000), and municipal budgets (400,000 rubles—$4,500).

Additional compensation of up to 750,000 rubles (around $8,300) was offered for injuries, and 1 million rubles (roughly $11,000) in the event of death.

As of late September 2025, Russia’s regional budgets reported a cumulative deficit of 724.8 billion rubles (approximately $8.1 billion), reversing a surplus of 472.1 billion rubles ($5.3 billion) recorded at the same point in 2024. A total of 68 regions were running deficits by that time, up from 45 the previous year.

In October, regional governments in Tatarstan, Chuvashia, Mari El, and Belgorod lowered enlistment payouts, while others canceled additional bonuses altogether.

In Tatarstan, the one-time signing bonus dropped from 2.7 million rubles ($30,000) to 400,000 rubles ($4,500). In Saint Petersburg, a gubernatorial bonus of 1.6 million rubles ($17,800) was eliminated entirely.

Earlier, the Yaroslavl Shipbuilding Plant—one of Russia’s key military shipbuilders—reportedly halted salary payments to its 850 employees due to funding delays from the Ministry of Defense. Wages have been frozen since late September, with management blaming blocked accounts and unpaid government contracts. The plant, which builds landing and patrol ships, has faced tightened Western sanctions since 2019, further restricting its operations.