Ukraine's gross state debt by the start of 2010 was some 32.9% of its GDP, which is an acceptable indicator, the Ukrainian Finance Ministry has reported in the Uriadovy Kurier newspaper.
"If all guarantee liabilities of the government are included in Ukraine’s state debt, the level of state and guaranteed debt as of late 2009 was 32.9% of expected GDP, which is an acceptable level from the point of view of the financial security of the state," reads the report.
As reported, the final data on the Ukraine’s GDP fall in 2009 have not been published. According to the Economy Ministry, last year GDP fell by 15%, and according to the Accounting Chamber – by 13.9%. According to the Budget Code of Ukraine, Ukraine’s state debt cannot exceed 60% of GDP.
The Finance Ministry said that total state direct debt in 2009 came to Hr 211.624 billion, or 23.1% of GDP (by early 2009 some 13.8% of GDP, and the ministry expected 18.9% of GDP as of early 2010), including Hr 120.554 billion in foreign debt and Hr 91.07 billion in domestic debt. The state guaranteed debt by early 2010 stood at Hr 89.889 billion.
The report also says that $4.795 billion were taken from the International Monetary Fund (IMF) to finance the national budget in 2009. The floating interest rate on the credit is some 2% per annum. The Finance Ministry said that the interest rate is the lowest compared to the rates on the world’s capital markets for Ukraine, which vary from 10% to 13% per annum.
The ministry also said that in 2009 Hr 31.305 billion was sent to pay state debt from the national budget, including Hr 13.38 billion to pay foreign debt and Hr 17.925 billion to pay domestic debt.
The budget last year borrowed Hr 105.31 billion, including Hr 42.527 billion on the foreign market and Hr 62.782 billion on the domestic market.
