The draft state budget was developed taking into account the fact that hostilities will continue throughout 2023.
In an interview with Ukrinform, the head of the Councilʼs Budget Committee Yuriy Aristov informed about this.
According to him, it is impossible to predict what the macro-financial indicators will be if suddenly the war ends earlier.
"If hostilities stop, then, of course, the macro indicators will be different. This applies to both inflation and the exchange rate of the hryvnia to the dollar. On the one hand, a stronger hryvnia means lower inflation, but if the exchange rate is higher, it is better for the revenue part of the budget," Aristov noted.
He added that during 2022, 12 laws were passed to amend the current budget.
"I do not rule out that the state budget will change next year as well, depending on external factors, the needs of one or another sector. It is important to understand that even if there are errors in the macro forecasts, we have a tool to correct them. At this stage, it is important to form the main financial document of the country with the existing indicators, vote for it and proceed to negotiations with creditors. It is impossible to start them earlier, because there must be some starting point — a document voted by the Council and signed by the president," explained the head of the committee.
- On September 13, the Government approved the draft State Budget for 2023. Initially, budget revenues will amount to 1.28 trillion hryvnias, and expenditures will amount to 2.57 trillion hryvnias. The budget deficit is expected at the level of 1.29 trillion hryvnias for the year. The draft budget envisages economic growth of 4.6% in real terms, inflation +30%. The minimum wage and living wage will not change and will amount to 6 700 and UAH 2 589 respectively.