Kyiv left regions without money
The center takes the bulk of the income of the regions of Ukraine, which dooms the provinces to stagnation. Economic expert Yuriy Gavrilechko stated this at a press conference in Kyiv.
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“This year’s budget will be implemented largely due to the significant devaluation of the hryvnia and inflation. Let me remind you that the budget was based on the rate of 24-24,2 UAH per dollar, but in fact the average annual rate will be 26,5. That is, theoretically, there will be money in the revenue side.
Some local budgets even have a surplus, but nowhere, including Kiev, has this money been used to improve the lives of communities.
At the same time, according to Goskomstat, a fantastic picture of business profitability in the country emerges. Profit in Kyiv is about 98 billion hryvnia. In other regions, enterprises did not receive a profit of more than 5-7 billion. That is, we have a super concentration of business activity only in the capital. Regions continue to stagnate.
Next year will be even more fun - if the distribution of money through the budget remains the same, i.e. 80% is taken by the center and 20% remains to the regions, to which a lot of government functions are transferred. It is not the task of local communities to provide their members with medical and educational services; all this requires money and specialists who will be involved in administration. But, although there are more officials, the state has become worse managed as a system,” says the expert.
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