What should be the optimal tobacco taxation policy in Ukraine?

In June, Parliament approved a bill to raise excise taxes on cigarettes, aligning with one of the EU’s requirements. However, the bill also introduced tax breaks for heated tobacco products (HTPs) like IQOS, glo, and others—benefits that could cost the budget over 20 billion UAH in the next three years.

Together with government representatives and experts we explored what an effective state policy on tobacco excise taxes should look like. The discussion also covered tobacco production in Ukraine and proposed changes to EU Directive 2011/64/EU, which shape excise policies.

Participants:

• Kristijan Fidanovski, Research Fellow at the University of Oxford, Economist at the Vienna Institute for International Economic Studies (WiiW);
• Taras Hutor, Head of the Department of Social Medicine, Economics, and Health Organization at Danylo Halytsky Lviv National Medical University;
• Jakub Jan Kakietek, Senior Economist at the World Bank;
• Dmytro Kupyra, Executive Director of the NGO “Life”;
• Ilia Neskhodovskyi, Head of the Analytical Department of ANTS;
• Maryna Shevchenko, Doctor of Medical Sciences, National University of Kyiv-Mohyla Academy.

Moderator: Yurii Gaidai, Senior Economist at CES.

This event is organized with financial support by The Vienna Institute for International Economic Studies (wiiw). wiw is a partner of the Bloomberg Philanthropies’ Initiative to Reduce Tobacco Use.