Ostrikova: Budget-2019 is the last budget of this government, which we will remember as an example of incompetence

The 2019 budget is not for Ukrainians, this budget is for the sake of receiving the IMF tranche so that the government could avoid a shameful default. MP Tetiana Ostrikova is convinced of this.

What is the money of Ukrainians spent on? Here are some figures:

– 83.1 billion for the Ministry of Internal Affairs

– 9.5 billion for the Security Service

– 7.3 billion for the Prosecutor General’s Office

“The expenses on all these law enforcement agencies exceed the expenses on the army. But people do not feel safer from this, the crime rate has not decreased. Why then increasing funding for law enforcement as compared to 2018? Because they are serving their political patrons?”

Everybody is talking about the creation of the so-called presidential fund in the amount of 1 billion hryvnias. Since when have we started calling the taxpayers’ money the President’s Fund? This is nothing else than providing the President with a manual control over a billion hryvnias, instead of allocating this billion for education or medical care.

“Medicine is underfinanced by 40%. When we ask to allocate funds for emergency medical care – 270 million – they are nowhere to be found. Yet, additional 100 million are easily found for the Security Service. Additional 3 billion hryvnias are provided for the replenishment of the authorized capital of Ukroboronprom so that some unknown expenses could be marked as “classified information” later! But if we want to buy new weapons for our army, then why not spend these 3 billion hryvnias just on purchasing them and transferring to the front line?”

Agrarians are also robbed in this budget. They were deprived of one billion in form of subsidies. Those programs of subsidies and support for the agro-industrial sector, which are provided for in the budget, do not apply to the majority of ordinary farmers, and the government is well aware of the fact that the funds don’t reach the farmers, but end up in the pockets of financial and industrial groups.

The government is once again ignoring the resources that the country has and which significantly exceed the size of the IMF tranche. We are talking about the introduction of a tax on withdrawn capital, which could generate + 1% of GDP growth annually and do away with the typical schemes of money withdrawal. But the authorities once again deceived the entire Ukrainian business, and this tax is not introduced this year. The funds promised by the Prime Minister in the summer from the liquidation of schemes at the customs are also missing from the budget.

“Today I want to ask the government, the Ministry of Finance, the Ministry of Economy – which sectors of the economy are going to be our drivers in 2019, are going to ensure GDP growth and drag us out of the debt trap? And what has the government proposed in this budget for these sectors of the economy?”

There is nothing, apart from the increased tax burden on the economy. However, perhaps the most important thing is the public debt, which in 2019 will reach 417 billion UAH. That is, 34% of all the country’s expenditures will go on the repayment and servicing of debts.

The government cannot pay back debts and is constantly taking out new loans, without any understanding of how to get out of this debt pit. This is a threat to the national economy.

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