The International Monetary Fund has urged Ukraine to intensify measures to reduce the shadow economy, which, according to government estimates, exceeds 30% of the gross domestic product. This issue was discussed during the IMF mission’s visit to Kyiv, where negotiations took place with representatives of the Ukrainian authorities.
This is reported by Finway
Government and Business Positions on the Shadow Economy
The head of the parliamentary Finance Committee, Danilo Hetmantsev, confirmed that reducing the shadow sector has become one of the key conditions for further funding from the IMF. According to him, potential reserves for the budget in the shadow economy amount to a significant sum:
“In the shadow, we can find at least ₴900 billion per year,” noted Hetmantsev.
The business community in Ukraine is also demanding decisive action. The European Business Association has appealed to the G7 countries to strengthen support for Ukrainian law enforcement agencies in combating the illegal trade of excise goods. The Association emphasized the need to expose and block illegal distribution channels for tobacco products, as well as to implement stricter sanctions for participants in the illegal production and circulation of cigarettes, electronic cigarettes, and their liquids.
The Role of International Organizations in Combating the Shadow Economy
ICC Ukraine has also called on the regional IMF representative in Ukraine to enhance efforts against the illegal trade of tobacco products. According to ICC Ukraine, involving the IMF in addressing this issue could significantly strengthen the fight against the shadow economy and contribute to increasing tax revenues to the state budget.