KYIV, Nov. 22 – Ukraine’s government on Thursday submitted its revised draft 2002 budget to parliament for approval, proposing to increase spending on social aid programs.
The budget sets revenues at Hr 44.2 billion ($8.41 billion) and spending at Hr 48.5 billion ($9.23 billion), with a deficit of $820 million, said deputy speaker Viktor Medvedchuk.
Parliament adopted the draft budget in the first reading on Nov. 15, but sent the document back to the government for revision. The previous draft set revenues at Hr 57.1 billion ($10.77 billion), and spending at 61.3 billion hryvna ($11.56 billion).
Finance Minister Ihor Mitiukov said that in the new draft, the government preserved the deficit level below 1.7 percent of Ukraine’s gross domestic product as demanded by the international financial institutions.
Also, more than Hr 600 million ($114.28 million) of budget spending will sponsor social aid programs, Mitiukov said, according to the Interfax news agency.
The draft must win parliament’s approval in the second and third readings and be signed by the president before taking effect.
Ukraine suffered severe economic decline since the Soviet collapse in 1991 and passed its first zero-deficit budget in 2000.
