It is now possible to stipulate that the fiscal and banking policies in 2016-2019 gave Ukraine a strong safety margin.<\/p>\n
As the Ministry of Finance faced the COVID-19 crisis and a 4% drop in GDP in 2020, it was forced to increase the budget deficit by 2.7 times compared to 2019, or up to 5% of GDP.<\/p>\n
Government guarantees issued to Ukravtodor and other state-owned companies in 2020, as well as c, “pulled” another 1.1 % of GDP. Thanks to the accumulated cushion of strength, public finances did not drop into the abyss.<\/p>\n
In general, the situation in public finances, despite the two years of crisis, looks rather promising: the debt burden has been contained and the deficit has been reduced. This is to be encouraged.<\/p>\n
But the attitude of parliamentarians to budget allocation, the high share of foreign currency debt and the large nominal funding requirements for short-term debts and deficits, as well as the troubled segment of state-owned companies, are a cause for concern.<\/p>\n
If fiscal risks materialise, public finances could collapse.<\/p>\n
This note presents the analysis of the Centre for Economic Strategy and the views of the panelists who participated in the forum “Ukraine’s Resilience to Crises: A Look into the Near Future”, organised by the Centre for Economic Strategy on 8 December 2021<\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
It is now possible to stipulate that the fiscal and banking policies in 2016-2019 gave Ukraine a strong safety margin. As the Ministry of Finance faced the COVID-19 crisis and a 4% drop in GDP in 2020, it was forced to increase the budget deficit by 2.7 times compared to 2019, or up to 5% […]<\/p>\n","protected":false},"author":1,"featured_media":19197,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[176,197],"tags":[572],"experts":[172],"news_type":[140],"class_list":["post-19956","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-macroeconomics-en","category-research-list-en","tag-public-debt-en","experts-maria-repko","news_type-researches"],"acf":[],"_links":{"self":[{"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/posts\/19956","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/comments?post=19956"}],"version-history":[{"count":0,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/posts\/19956\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/media\/19197"}],"wp:attachment":[{"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/media?parent=19956"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/categories?post=19956"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/tags?post=19956"},{"taxonomy":"experts","embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/experts?post=19956"},{"taxonomy":"news_type","embeddable":true,"href":"https:\/\/ces.org.ua\/en\/wp-json\/wp\/v2\/news_type?post=19956"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}