Economy 2021-05-06T04:03:11+03:00
Ukrainian news
High Inflation of Recent Months Led to Drop in Ukrainians’ Real Income, – Lovochkin

High Inflation of Recent Months Led to Drop in Ukrainians’ Real Income, – Lovochkin

inflation, Serhiy Lovochkin, Opposition Platform - For Life, real income
Serhiy Lovochkin. Photo by lovochkin.org
Serhiy Lovochkin. Photo by lovochkin.org

In March, inflation reached 8.5 percent year-on-year basis which increased poverty among Ukrainian citizens. According to Opposition Platform - For Life MP Serhiy Lovochkin, the main reason behind the problem is poorly devised economic policy of current administration.

"The first months of 2021 were the period of sharp increase in prices for some essential goods and services. The year-end inflation might reach a two-digit figure, which hasn’t been the case since 2017. This means significant drop of real income of our citizens which slid due to crisis anyway," Lovochkin said.

The MP added that gas price for population grew by 63 percent over the year; the price for eggs rose twofold, for sugar by 64.7 percent, and for sunflower oil by 48.5 percent.

"The reasons for that are not only market-based. Gas price, for instance, could have been lower if the government revised its pricing policy," the politician said.

According to Lovochkin, inflation accelerated also due to wrong priorities by the Cabinet in economy and population support during crisis.

"This support should be based not only on direct financial allowances to citizens but also on measures for stimulating the manufacturing industry. This is the only way to increase the citizens’ real income. For direct financial aid will sooner or later lead to inflation and thus shortened real income," Lovochkin summed up.


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