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 Kyiv is on the Verge of Bankruptcy - Klitschko

The Ukraine's capital budget deficit is about 2 billion hryvnias, but the government keeps Kyiv on the verge of bankruptcy.

This was announced by Kyiv's Mayor Vitalii Klitschko Tuesday during the meeting with Kyiv employers and entrepreneurs, Censor.NET reports citing Ukrainska Pravda.

"Despite the fact that Kyiv makes up to 30% of the state budget of Ukraine, the city's budget is empty as of today. The deficit is about 2 billion hryvnias," the mayor said.

Read also: State Budget 2015 Will Be Challenging and Stressful in War Conditions. Populism Will Not Pass - Yatseniuk

He added that the previous Cabinet introduced "absurd mechanisms of budget relations between the capital city and the central authorities.

"Current government still uses the scheme and patches the holes of the state budget from the local ones," Klitschko said and reminded that 50% of individual income taxes are being withdrawn from the city budget.

"In 2005, 400 billion UAH was withdrawn for state budget from Kyiv. This year, the withdrawals reached 9 billion UAH, which is 20 times more. Over the past few years, the Kyiv budget gave away 33 billion hryvnias. The government keeps the capital city on the verge of bankruptcy," Klitschko said.

He once again noted that lack of financing puts lives of those needing medicine at threat.

"I mean hemodialysis, insulin. These medicines should be paid by the Cabinet and partly from the city budget. But there are no funds. As of today, Kyiv's healthcare is financed by 58% of its needs, the salaries are paid by 78%, medicine buys are made at 48%, foods for patients is covered by 40%," Klitschko summed up.

As reported earlier, Klitschko said previously that the new Parliament should abolish the withdrawal of individual income taxes from Kyiv budget.

 
 
 
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