VAT revenues of the state budget increased by 40% compared to the first months of the full-scale war. This was stated by the Minister of Finance of Ukraine Sergii Marchenko in an interview with The Economist.
“Despite systematic missile attacks by russia and blackouts, Ukraine’s economy continues to operate. Domestic consumption is growing, and international partners have helped finance more than half of the budget deficit. We should maintain a “normal” life in order to sustain stability in the country and speed up the victory in the war,” said Sergii Marchenko.
The Minister of Finance also emphasized the importance of predictability and systematic disbursements of external funding in the coming year.
“Recently, the EU has approved EUR 18 billion of Macro-Financial Assistance to Ukraine for 2023. The United States also offered $10 billion in direct budget support. We have greater predictability of external financing, which allows us to more accurately plan the budget for the next year,” Sergii Marchenko said.
In addition, the Minister of Finance noted that the structure of Ukraine’s war economy was changing. Previously, the country was dominated by large enterprises that made about 90% of products and were mostly controlled by Ukrainian oligarchs: “Today, the Ukrainian economy is reducing its dependence on oligarchs.” (Government portal/Business World Magazine)