28 July 2008
The Rada yesterday adopted 2007 budget parameters almost exactly as they were drafted by Regions budget committee chairman Nikolai Azarov. The parameters notably include a call to restore the tax privileges for special economic zones that existed until early 2005. Yuri Yekhanurov, the acting prime minister, said he wasn’t against restoring some of the privileges but he strongly opposed restoring the status quo ante. Tom Warner: This will be one of the main conflicts within the new coalition, assuming it is formed. It is likely to end with a compromise, partially restoring privileges for eastern industrial zones and also for western zones aimed at EU-oriented manufacturers.