Yatseniuk announces budget 2016: National security and defense a priority

Prime Minister of Ukraine Arsenii Yatseniuk announced national security and defense as priority expenses in the state budget 2016.

As reported by Censor.NET, the head of the government said this in an interview to Focus magazine.

Answering the question of how the budget 2016 differs from that of the 2015, the PM said:

"Budget fundamentals are, of course, national security and defense. 100 mln UAH ($4 mln) will be allocated for it, as announced. Judging by recent reports, the war is far from ending.

"Besides, we have to keep the budget deficit at 3.7 percent, as agreed with IMF.

"I also want the budget to be voted together with the tax reform. I believe that the Ministry of Finance-authored draft will be a great basis for real tax changes. In order to implement the reform we would need to cut state budget expenses by more than 60 bln UAH ($2.4 bln)."

The reporters asked how the expenses will be cut. Yatseniuk said:

"First, we will optimize the logistics of the expenses. Major part of the expenses has been assigned to local budgets after decentralization. In addition, we would save a lot with the state apparatus. Last year, it was cut by more than 20 percent, and the car fleet by almost two times. We are flying with air liners, economy. All expenses will be further optimized, including incidental and inefficient."

Read more: Ukraine to lose $600 million next year over Russia's food embargo, - PM Yatseniuk

Answering the question whether the state budget 2016 includes increase in social standards, the prime minister said "yes."

"I think we have to include it at the current year level. It will depend on what resources we will be able to get," Yatseniuk said.Источник: https://en.censor.net.ua/n361349