The head of the Financial Committee of the Verkhovna Rada, Danilo Hetmancev, warned that Ukraine may face a serious financial crisis as early as April. According to him, the state is currently using budget funds that were planned for expenditures in the second half of the year, which creates a threat of funding shortages in the coming months.
This is reported by Finway
Threat of Funding Shortages for Expenditures
Hetmancev noted that the sense of an impending financial crisis is shared only by a few representatives of the government, including himself and the Minister of Finance. In his statement, he emphasized that by April, the state may find itself in a situation where there are no resources to cover necessary expenditures. The reason for this is the premature use of budget reserves that were intended for the second half of the year.
“Not all colleagues (not only from the Rada but also from the government) have a premonition of financial tragedy. I have it, the Minister of Finance has it, because he understands that in April there will be no funds to finance expenditures,” he said, commenting on the discussions surrounding unpopular tax changes and the fulfillment of the conditions of the IMF program.
IMF Requirements and Criticism of Government Actions
Hetmancev emphasized that the International Monetary Fund strictly demands compliance with the conditions agreed upon with the government, and postponing key obligations does not exempt Ukraine from fulfilling them. He also criticized the Cabinet of Ministers for a lack of consistency in financial policy. In particular, the deputy pointed out that while agreeing to the IMF’s requirements, the government is simultaneously expanding what he described as an “ineffective national cashback program” through differentiated payments to citizens. According to Hetmancev, this does not contribute to budget stability and complicates the fulfillment of international financial obligations.