14 May 2010, 15:53
Volodymyr Lytvyn, Chairman of The Verkhovna Rada of Ukraine, believes that the State Budget for the Current Year is Imperfect, although he expects that the Fundamental Financial Document for the Next Year will be a Budget for Growth
Asked by the Rada television channel on Friday, V.Lytvyn characterized adoption of the bill on amendments to the tax legislation at the first reading as ‘forced. The bill mentioned raises the rates of excise duty on alcoholic beverages and tobacco goods.
The Head of the Parliament reminded that adoption of the bill would fill the budget with extra UAH 16 billion. "There are no other possibilities or reserves to fill the budget. It is a forced step intended for this year only", he stated.
"I have to admit that I am not in favour of the current budget, however, it shall sustain the situation in the country, preserving the effective social standards", V.Lytvyn stressed.
The Chairman emphasized that the authorities were exerting every effort to implement the law on the enhancement of welfare standards, which the former government is said to have neglected. V.Lytvyn stated that the Law "shall be implemented since 1 January 2010", so the majority of people will receive corresponding after-payments to the wages, pensions and other welfare payments.
The Head of the Parliament stated that adoption of budget-2010 launched the process of adoption of local budgets, which is being blocked by the opposition forces in their attempt to ‘flex the muscles.´ "I have to admit that ‘muscle democracy´ is unnecessary", he stated.
As to the drafting of the next-year budget, V.Lytvyn stressed that it should be a budget for growth. "The work upon the Budget Code has already been launched, - he stated. I expect that it will enable the local authorities and communities to work efficiently, being assured that their funds will remain for the local needs."
V.Lytvyn believes that drafting and adoption of the Tax Code is another important priority, since it should substitute all the effective laws in this field. "The objective of top priority is to make the tax code sustainable, acceptable for the tax payers, as well as comprehensible", he stated.
"The settlement of these matters will make it possible to draft a budget for 2011 on new principles", the Chairman of The Verkhovna Rada of Ukraine stated.
V.Lytvyn made it a point that the draft budget for the next year would be brought forward within the legislatively fixed terms, i.e. till 15 September.