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 No funds for immediate increase of social payments, - PM Yatseniuk

Ukraine's government has no funds needed for immediate increase of social standards in the country.

As reported by Censor.NET citing UNIAN, Prime Minister Yatseniuk said this during the Question Hour with the government in the Verkhovna Rada of Ukraine.

Read more: Yatseniuk urges Poroshenko to "join hands" to avoid chaos: "We must not repeat mistakes of 2005"

"At the moment, we have no additional funds. Due to the slump in oil prices and those of core export products of Ukraine, it will be very difficult to fill the budget. I announce that if the budget is filled better than expected, we will allocate the funds for social payments," Yatseniuk said.

The prime minister also reminded that inflation rate reached record level of 43 percent in 2015, and the parliament's and government's decision to index-link salaries and pension payments by 13 and 19 percent was not sufficient to compensate for increased prices.

"What is our goal for this year? This year we must keep the prices stable. Inflation anchor for us is 12 percent. Certainly, this anchor depends on a dozen of parameters. The first and major one is the national currency exchange rate. I hope that the National Bank will do its best to secure this currency rate stability," Yatseniuk said.

"In order for the National Bank to be able to do so, we need to stay in the program of our partners, including IMF, and make decisions that the president and the prime minister signed. We are increasing social standards [in 2016 - ed.] by 12 percent in order to compensate for the inflation."

Read more: Inflation in Ukraine exceeded 43 percent in 2015, - State Statistics Service

Earlier, Yatseniuk noted that the Cabinet of Ministers will index-link salaries and pension payments in May this year, as stipulated by the budget law. The minimum monthly wage, according to the law, is 1,330 UAH ($48) effective Jan. 1, 2016, 1,399 UAH ($51) effective May 1, 2016, 1,496 UAH ($54) effective Dec. 1, 2016.

 
 
 
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