Ukraine budget deficit reaches 3.2% of GDP for 11M13
8 January 2014
Ukraine’s state budget deficit reached UAH 46.5 bln (or 3.2% of GDP) by the end of November, growing UAH 5.7 bln that month, according to a Finance Ministry report released on Dec. 31.
Alexander Paraschiy: The deficit increased in line with our estimates (we projected a 4.0% of GDP deficit in 2013 about a half-year ago). Though the December budget numbers haven’t been released yet, the last month of the year is typically the most intense in terms of public spending. And 2013 will not be an exception in light of active external (USD 3.0 bln) and internal (UAH 14.2 bln) borrowing. So there’s a good chance we’ll see the cash-based state deficit conclude the year even higher than 4.0% of GDP.
