Economy 2023-09-15T04:51:41+03:00
Ukrainian news
Dollar Rate 42 UAH/USD, Average Wage UAH 18,500, Inflation 30%. Shmyhal Tells Details Of Draft Budget For 2023

Dollar Rate 42 UAH/USD, Average Wage UAH 18,500, Inflation 30%. Shmyhal Tells Details Of Draft Budget For 2023

state budget, draft state budget, state budget 2023, draft state budget for 2023

Prime Minister Denys Shmyhal said that the Cabinet of Ministers submitted to the Verkhovna Rada the draft state budget for 2023. It provides for a dollar exchange rate of UAH 42, an average salary of UAH 18,500 and inflation at the level of 30%.

 More details about the draft state budget for 2023 are stated in the text of Shmyhal’s speech, which is published on the website of the Cabinet of Ministers.

The head of government immediately stressed that the budget for next year is the budget for Ukraine's victory in the war against Russia.

This involves allocating as much funds as possible to the security and defense sector, as well as to social programs. This will be done by reducing spending on other budget items. Therefore, Shmyhal draws attention, 2023 will be a difficult year.

Closer to numbers

According to the draft state budget, Ukraine's revenues in 2023 will amount to UAH 1.28 trillion. At the same time, spending for next year is planned at the level of UAH 2.57 trillion.

The monthly budget deficit in 2023 is estimated at UAH 1.29 trillion or more than USD 3 billion.

It is noted that now about a third of the country's budget is financed thanks to the help of Ukraine's international allies.

Shmyhal explains that this situation means the fact that in 2023 Ukraine will not be able to afford off-target costs.

Macro-financial forecast

Shmyhal recalled that every year, together with the draft state budget, the government approves a macro-financial forecast. It contains GDP (gross domestic product) and inflation.

According to him, next year the economy of Ukraine can both fall by 0.4% and grow by more than 10%. It will all depend on success at the front.

It is worth considering that the macro-financial forecast of the budget is a conservative scenario. The real situation may turn out to be radically different.

Dollar exchange rate, average salary and inflation

According to Shmyhal, the macro-financial forecast assumes that in 2023 the Ukrainian economy will increase by 4.6% in real terms and by 37% in nominal terms.

The US dollar will fluctuate at UAH 42, the average wage will be approximately UAH 18,500, and inflation can reach 30%.

The financing of industries and spheres provided by the draft state budget

Due to the war with Russia, the main priority of the state budget in 2023 will be the security and defense sector. Almost 50% of the budget or UAH 1.13 trillion will be allocated for these needs.

It is noted that this is 4 times more than predicted by the draft state budget for 2022.

The second priority direction of budget expenditures is pensions, subsidies, assistance to low-income families, payments to IDPs, as well as medicine and education.

It is planned to allocate 35% of all expenses or more than UAH 800 billion for this.

In simple words, from each budget hryvnia 50 kopecks will go to the army, 35 kopecks - to the social sphere, medicine and education, and another 25 kopecks - to everything else.

Earlier today, Member of Parliament from the Holos faction Yaroslav Zhelezniak announced on his Telegram channel some details of the draft state budget.

The MP published documents that outline the expenditures of the state budget for 2023.

As Ukrainian News Agency earlier reported, on September 13, it became known that the Cabinet of Ministers approved the draft state budget for 2023.

We also reported that as of August this year, the state budget was executed with a deficit of UAH 417 billion.