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Putin Slashes Roscosmos Budget by 16% Annually Amid Agency's Performance Failures

Frustrated with Roscosmos' underwhelming results, President Vladimir Putin has ordered significant funding cuts for Russia's space program over the next three years. Reports from major Russian outlets indicate annual reductions of about 16%.

In 2020, Roscosmos fell short on 30 of its 83 objectives, drawing sharp criticism from Putin. The agency has struggled to compete with global leaders for years, prompting recent decisive actions on the national space strategy.

For 2022, space funding is set at 210 billion rubles (about 2.5 billion euros), down 40.3 billion rubles (around 480 million euros) from the prior year. Budgets will shrink by another 16% over the next two years, with the steepest cuts targeting "manufacturing technology activities" and "cosmodrome development."

As reported by Ars Technica, Putin has directed Roscosmos to boost rocket reliability and develop next-generation launchers to counter intensifying rivalry, especially from SpaceX.

Putin Slashes Roscosmos Budget by 16% Annually Amid Agency s Performance Failures

Challenges Mount for Russia's Space Efforts

Russian space engineers, already among the lowest-paid in the industry, face heightened pressure to deliver amid these cuts. Roscosmos has endured ongoing budgetary strains from lost U.S. contracts—previously worth about 345 million euros yearly—as NASA shifts to SpaceX. United Launch Alliance is also phasing out Russian RD-180 engines.

Russia's space ambitions appear increasingly precarious, squeezed between U.S. and Chinese advances, leading to introspective measures. Just days ago, a new law barred non-state media from reporting on the program, labeling violators as "foreign agents" and risking safety for foreign journalists and bloggers.

Per Ars Technica, this aims to polish Roscosmos' image and mask Russia's waning space dominance. Popular science bloggers have signaled a pivot toward international programs over Roscosmos coverage.