Paradox: In Ukraine is expected a huge increase in tariffs and reduction of subsidies – the economist

Парадокс: В Украине ожидается колоссальный рост тарифов и сокращение суммы субсидий - экономист

Coming sharp increase of tariffs for the population and the resources for subsidies from the state is hardly enough.

The correspondent of ГолосUA announced financial analyst, economist Alex Kush.

Coming sharp increase of tariffs for natural gas by 40%, and if the resources of the state are not enough for subsidies to the population, all this threatens a social explosion, said a financial analyst.

“In the autumn will be raised tariffs, the inflation rate will be registered by the state statistic Committee at the level of 10% to 12%. Because 2019 is the year of political turbulence that in 6-7 months the government will try to squeeze all the costs,” – said A. Kusch.

The economist once again stressed that Ukraine expected a huge increase on all fares. Thus there is a paradoxical situation from which you can go one way to reduce the number of people who receive subsidies.

“Subsidianes in the country will be less, and the new government that will come will be faced with catastrophic situations – a huge number of people will require financial assistance the enormous rise in tariffs, and the budget money will not be” – predicts A. Kusch.

According to financial analyst, to fill the budget is possible, firstly, due to the growth of the real economy and, second, due to the devaluation of the currency.

“We have used the combined option – a smaller portion of the budget is filled at the expense of the real economy, and a large part – due to inflation, by the printing press,” the economist said.

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