Ukraine's Public Finances are Stabilized - Ukrainian President's Administration

Dec 08, 2010, 05:35 ET from Worldwide News Ukraine

KIEV, Ukraine and LONDON, December 8, 2010 /PRNewswire/ -- During the last 6 months the Ukrainian government has managed to significantly improve the country's financial situation by decreasing the public debt. This statement was the core message of the First Deputy Head of Administration for the President of Ukraine Iryna Akimova at the Inside Ukraine Conference organized by The Economist.

Iryna Akimova stated that the Ukrainian government managed to stop the growth of the state debt in relation to GDP. It went from being double last year to only 5% this year. She underlined that such results prove the correctness of the fiscal policy of the Ukrainian government. GDP of Ukraine reduced to 15,1% in 2009, it is expected to grow by 5% in 2010.

"We plan to further reduce public debt in 2011", said Akimova.

In 2009, when Ukraine's GDP contracted by 9%, the deficit of the state budget amounted to 16%, according to Ukraine's Prime Minister Mykola Azarov. The public debt during the same year had grown by four times. Every second hryvnia spent by the Government in 2009 was borrowed, according to the information provided by the Ukrainian Finance Ministry.

Inside Ukraine brought together in London top business executives and influential thinkers with Ukraine-based business leaders, politicians and independent commentators for in-depth analysis and debate of the country's future prospects and its appeal for investment. Among the expert thinkers were Patrick Van Daele, General Manager, Shell Ukraine Exploration and Production, and Boris Krasnyansky, Managing Partner, PricewaterhouseCoopers Ukraine.

SOURCE Worldwide News Ukraine