Groysman launches the printing press, the hryvnia faces an unprecedented collapse
The Ukrainian government does not have the funds for the announced increase in pensions, so Vladimir Groysman will have to turn on the printing press to fulfill his promises, which will lead to hyperinflation. Social activist Maxim Goldarb, head of the “Public Audit” project, stated this at a press conference in Kyiv.
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“Just to eliminate the hole in the pension fund we need 150 billion hryvnia. In the near future, Ukraine will be faced with the fact that, according to new tariff and subsidy formulas, the state will need another 100 billion hryvnia to close this “hole.”
28 billion hryvnia will be needed as compensation in the budget if the minimum wage for public sector employees is increased from January 1. If we add up just these numbers, we will reach 300 billion hryvnia. shortage. No one is going to give us this money just to eat.
Therefore, all the measures announced by the government will lead to the collapse of the hryvnia - simply because the economy will not see any other money except from turning on the printing press.
We cannot make money because the GDP has been shrinking over the past three years. Having produced a product, we cannot sell it - traditional markets are closed, new ones are open “to look at”. We can't borrow money. Therefore, it is necessary to print them - either secured by loans, or unsecured, as was the case in 2014.
Once this happens, it will pull inflation. Moreover, I think that we are talking about hyperinflation if the situation is not changed,” says the economist.
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