The government have problems with financing their spending

6 November 2013 09:01  3250082 050843
The government have problems with financing their spending

With the constant shortage of funds in the state finance system, by early November, the liquidity indicator of the single treasury account dropped to the record low level in a decade.

This was reported by the "Kommersant-Ukraine" with reference to the State Treasury.

According to available data, in January-October, revenues to the general fund of the budget increased by 4.7%, or 10.8 billion hryvnias - up to 241.4 billion hryvnias. In particular, in October, the Treasury received 24.7 billion hryvnias (+11.7% to that of 2012). This is the second consecutive month, when payments to the general fund are greater than last year.

However, according to the publication, the Ministry of Finance sought to collect more taxes - the shortfall in October was 4.2 billion hryvnias.

Whereas the general fund of the state budget-2013, which funds all protected cost items, was compiled on the basis of 11 per cent revenue growth, in order to fulfill it in November and December, the government must raise 80.7 billion hryvnias. The government can no longer rely on the NBU: while the target is 22.8 billion hryvnias, by October 1, the central bank have already transferred 19,750,000,000 UAH.

Thus, in the IV quarter it can allocate only 3 billion hryvnias.

According to the publication, the critical situation in the field of state finances is confirmed by the data on the state of the single treasury account. As of November 1, the amount of available funds in the Treasury fell to the record low level in the past 10 years.

During the month it dropped almost 10 times - up to 410 million hryvnias. Such a low level was at the beginning of the year - 458 million hryvnias, after which the balance was 2,8-4,1 billion hryvnias. Last time, worse situation was in August 2003, when the Cabinet had only 341 million hryvnias at their disposal.

Tags: budget, finance

Read also

Post comment

Users posting offensive comments as to other participants of discussion will be banned by moderator without prior warning or explanation. The information related to these users may be provided to law enforcement authorities upon relevant request.Links and advertising messages are prohibited in the comments!

No comments