Ukraine budget deficit more than doubles in 8M13
2 October 2013
Ukraine’s state budget deficit reached UAH 4.3 bln in August and UAH 34.8 bln in 8M13 (2.4% of GDP), according to a MinFin report released on October 1. Thus, the 8M13 deficit more than doubled from UAH 13.5 bln a year ago.
Alexander Paraschiy: The deficit is growing in line with our expectations. However, unlike previous months, we do not have a clear picture of where MinFin got UAH 4.3 bln to cover the gap. In August, MinFin raised UAH 899 mln and USD 187 mln with state bonds while internal redemptions were twice more – UAH 3.2 bln and USD 254 mln. Most likely, the authorities decided to tap some slush funds for saving the budget, but we do not have info on such sources.
