President Viktor Yanukovych sent his annual address to parliament on June 6. The 570-page document outlines the vision of the president and his administration of the current state of the nation, as well as key tasks the authorities are setting for themselves this year and onward. Typically, the president's address to parliament takes a form of speech in the session hall, but this year the president had his address printed and distributed among the deputies while he is on a state visit to Serbia. It is not yet clear whether distribution of the document will be followed up by his appearance in parliament.
Kyiv Post has picked
out some highlights of the address, and brings you key quotes from
the president. Full text of address in Ukrainian is available here.
On achievements:
The policy of reform
has already brought a positive effect. Ukraine has restrained the
negative influence of the European depression of 2012. In many
countries of the world the level of life has significantly reduced.
In Ukraine we have managed to prevent it.
We have created a new
mechanism to provide transparency and responsibility of power,
which is incorporated in the law on access to public information.
Active and caring citizens
play an ever greater role in the fight with corruption.
On our agenda is
further reform of the system of state governance, transfer to a model
of the state directed towards servicing the needs of the citizens. In
every city and district a new modern center has to appear to provide
administrative services. Every one of them should give a guaranteed
list of the most requested services for citizens and business. They
need to be given within a minimal term.
On business and
finances:
Big, medium and small
business must have a maximum of economic freedom.
It’s not distribution of
the budget, but creation of macroeconomic conditions for all-sided
development of private business and entrepreneurial initiative that
have to become key solutions for growth.
It’s of utmost importance
to provide consolidation and effective use of the financial resources
of the state. For that, changes are needed in the financial system,
including the approval of special laws for the activity of the Bank
of Development, Agency for Insurance of Export and crediting the
exporters.
We need new stimuli for
internal reinvestment in the industries with high added value, an
active implementation of import replacement policy and changes in the
structure of export in favor of commodities with a high degree of
processing, which use new technological solutions.
One of the problematic issues to be solved in 2013-14 which craves solution is the unreasonably large number of state owned companies which do not ensure the implementation of governmental programs.
On taxes:
One of the goals for 2014 is the easing of tax burden and the tax rates will be dropped. The VAT tax will go down from 20 to 17 per cent. Corporate income tax will be brought down from 19 to 16 per cent, which would lead to budget lossed of approximate Hr 25 billion.
Further introduction of luxury tax, including luxurious real estate, vehicles, yachts, planes and helicopters, jewelry etc.
On export:
The depressive world
economy has conditioned a drop in demand on international markets of
the main export commodities of Ukraine. The conditions of trade have
additionally worsened as a result of protectionists measures among
Ukraine’s trade partner nations.
The biggest growth (last
year) was seen in export of agricultural commodities (45.8 percent),
transport (22.8 percent) and food (18.9 percent). The high dynamics
of agricultural exports were facilitated by Ukraine’s refusal to
limit grain export on the background of positive conditions on
agricultural markets.
On social issues:
Every region has to get a
new center for daycare for children with disabilities. In these
institutions, working with children will be not just educators, but
also rehabilitation specialists.
An important set of tasks
is special care for children who have health problems. They should
not end up at the roadside of life.
Every child in Ukraine has
to receive a guaranteed ability to open up and fulfill their talents.
The talent of our children is our strategic investment.
Labour market is not coordinated with the education market, creating disproportion between the supply and demand on the labour market.
Another significant issue which weakens the effectiveness of the labour market is the shadowing of many sectors of labour market.
The traditionally significant issue is the high level of the labour migration from Ukraine. At least 2.5-3 million people are involved in working abroad.
One of the biggest problems of the labour migration is lack of efficient social protection of the migrant workers.
On foreign policy:
Ukraine seeks creation of strategic cooperation with global players
– Unites States, China and also Russia (our biggest neighbour) considering the
declared course for modernization of state in modern globalized world.
This is not a secret that search Ukraine’s search of its own model of cooperation
with Customs Union of Russian Federation, Belarus and Kazakhstan doesn’t always
find proper support of the partners. But participation of Ukraine in Eurasian
integration project have to be decided given obligation of our state according
to protocol of joining the WTO and project of Association Agreement with the
European Union.
National interests of Ukraine are keeping strategic relations with
partners and diversification and multivectorness of foreign economic
cooperation.
Our relations with China have far-reaching, strategic
character and compose one of the most important factors for implementation of
economic potential of Ukraine.
