The Verkhovna Rada has published the draft State Budget of Ukraine for 2018, approved by the Cabinet of Ministers, with a deficit target increased compared with the initial version by UAH 3.9 billion, up to UAH 81.8 billion.
"The limit of the state budget deficit in Ukraine for 2018 shall be determined in the amount of UAH 81.8 billion," the bill says, while the initial version of the draft approved by the government on September 15 provided for a deficit of UAH 77.9 billion, or 2.4% of GDP.
According to the document, the state budget revenues target shall increase by UAH 37 billion, up to UAH 914 billion, while expenses rise to UAH 41 billion, up to UAH 989 billion.
The limit of state and publicly guaranteed debt as of December 31, 2018, remains at the level of the initial project, in the amount of UAH 2.747 trillion. It should be reminded that on the eve of the draft budget’s first reading in parliament, the International Monetary Fund, whose experts had been working in Kyiv November 9-17, announced its intention to continue discussion with the Ukrainian authorities in order to ensure the deficit envisaged in Ukraine’s cooperation program with the Fund at 2.5% of GDP.
Read alsoUkraine's Cabinet reviews inflation forecast in draft budget for 2018 At the same time, while commenting on the statement, the Finance Ministry assured that the parameters of the draft state budget developed by the government and adopted by the Verkhovna Rada in the first reading were in line with the requirements of the IMF program, while preparing the draft for the second reading did not provide for an increase in the deficit, which in the initial project accounted for 2.4% of GDP.
As UNIAN reported earlier, the Cabinet of Ministers on December 1 approved the draft state budget of Ukraine for 2018 for its second reading in the Verkhovna Rada, finalized after adoption by parliament on November 14, as a basis with a number of amendments in line with the conclusion of the Budget Committee.
Read alsoUkraine sees 5% rise in maximum unemployment benefit amountAs Prime Minister Volodymyr Groysman said at a government meeting, this year the economy would grow by 2% with the inflation at 11.2%, while next year the economy would accelerate to 3%, with the inflation rate slowing down to 9%.
The Rada is expected to consider the draft budget in the second reading on December 7.