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Shmyhal: Ukraine expects 4.6% GDP growth, partners' help to finance budget deficit

Inflation is forecast at around 10%.

Shmyhal: Ukraine expects 4.6% GDP growth, partners' help to finance budget deficit
Denys Shmyhal
Photo: kmu.gov.ua

Prime Minister Denys Shmyhal said at a government meeting that GDP growth is expected to reach 4.6%.

Inflation is forecast at around 10%, with the average annual dollar exchange rate at UAH 40.70. The average salary will also increase to UAH 21,800.

The prime minister also commented on the situation with revenues and expenditures.

"Budget revenues will amount to UAH 1 trillion 780 billion. Citizens and businesses will pay a total of UAH 1 trillion 570 billion in taxes. This is an important point. The total resource for security and defence will amount to UAH 1 trillion 693 billion. That is, when we say that every hryvnya of taxpayers goes to ensure our defence, it is literally every hryvnya," Shmyhal said.

He noted that the expenditures will reach about UAH 3 trillion 350 billion. "That is, we have a deficit of UAH 1 trillion 570 billion. We work almost every day to get the support of our partners to finance this deficit," he said.

According to Shmyhal, to cover this deficit, Ukraine expects to receive $5.4 billion from the IMF, €18 billion in financial assistance from the EU, more than $10 billion from the US, as well as additional budget support from Japan, the UK, Norway, Belgium, Sweden, Portugal and other allies.

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