According to prominent Russian MP Vyacheslav Volodin, the nation no longer has financial independence and cannot exist without assistance from the West
According to Vyacheslav Volodin, speaker of the Russian State Duma, Ukraine no longer has financial independence since it is unable to pay its responsibilities to its inhabitants without assistance from the West.
In a statement posted on Telegram, Volodin asserted that “collected taxes compose just 40% of the country’s budget,” of which more than 60% is allocated to military spending. Volodin cited the $5 billion monthly deficit in Ukraine as an example.
Ukraine is insolvent, he declared.
The Wall Street Journal published the exact same statistics on Friday.
According to the speaker, “Kiev can no longer fulfill its duties to the EU without the assistance of Washington and Brussels.”
“Ukraine has lost its financial independence,” Volodin concluded.
The Ukrainian government unveiled a draft bill on Monday to end preferential gasoline tariffs. The act is expected to produce “during the period of martial law” conditions “for the normal operation of the economy” and increased budget income through excise fees, according to an explanation on the Rada’s website.
Finance Minister Sergey Marchenko recently stated that “war conditions” will make next year’s budget “very tight” in an interview with RBC Ukraine.
There will be no expenses that will not be reviewed,” he said.
According to Oleg Ustenko, a presidential adviser on economic issues, Ukraine’s state budget deficit is expected to reach $50 billion by the end of the year. That is about 30-35% of the country’s GDP, he said in a TV interview last month, adding that “this is a problem of war.”
Kiev claims that it need $5 billion in support every month from Western allies. Ustenko, as reported by the Financial Times, stated in July that they would require an additional $4 billion per month for the following three months to pay for millions of people’s emergency housing and home repairs, as well as to support a basic minimum income for those who had lost their employment.
The Western promises of money and assistance to Ukraine have been far slower to materialize than anticipated. Only $1 billion ($9.3 billion) of the €9 billion ($9.3 billion) in long-term loans that the European Commission requested in May has so far been delivered. The EU has donated €2.2 billion since February.
Midway through July, the United States Agency for International Development stated it will contribute an extra $1.7 billion, increasing the total amount spent on Ukraine by the organization to $4 billion.
Ukraine’s finance minister stated last week that his nation anticipates receiving $3 billion in US financial help in August and an additional $1.5 billion in September. The funds, according to Marchenko, are a part of a $7.5 billion financial relief package and would be used to pay for “essential spending” including medical expenses and pension obligations.
The source used in the creation of a news story: https://www.rt.com
