Ukraine Socio-Economic Program Submitted To Parliament

Next week the Ukrainian Parliament will consider a significant document submitted by the newly formed government.  The document outlines proposed patterns of socio-economic development for Ukraine during the remainder of the year.

According to the program, inflation will be about 13 percent this year, the GDP will grow 14 percent, and industrial production will grow 5 percent compared to last year. It is expected that direct investment to Ukraine's economy in 2010 will reach 5 billion dollars, while taxes for small and medium business will reduce.

Many parliamentarians saw the draft document for the first time just before its submittal. According to the opposition who did not vote for it, the program is unprofessional and will not be able to improve the economic state of the country.

[Mykola Tomenko, Deputy Speaker Ukraine Supreme Council]:
"This is the first document I’ve seen since Ukraine became independent, where the strategy is not based on improving the quality of human life, but is based on improving balance sheets, taxes, expenses and development of industries."

Andriy Novak, author of the book "How to improve Ukrainian economy," has studied the government program in depth.

He argues that it directly opposes the main election promises made by president Viktor Yanukovych.

[Andriy Novak, Author On Ukrainian Economy]:
"The hope that the government will work as it declared in the areas of investment and innovation, has disintegrated. Because, for example, the program projects less foreign direct investment in 2010 than in 2008, a recessionary year.”

Novak states that the promise of increased pensions has also been abandoned.

[Andriy Novak, Author On Ukrainian Economy]:
“We were promised that pensions would be doubled. In actual fact, this month pensioners will receive less than they received in December, January and February.”

Next week MPs will review the amended version of the program. Meanwhile the opposition is preparing its own version of the document.

NTD, Kyiv, Ukraine.