Cabinet offers stipulating deficit targeting, state debt reduction to 5% of GDP in budget resolution until 2020

17:00, 14.06.2017 1 min read

The government of Ukraine has proposed the Verkhovna Rada to stipulate targeting for the national budget deficit up to 2% of GDP and reduce the level of public debt to 55% of GDP in 2020 in the draft law "Budget Policy Basics for 2018-2020 (Budget Resolution)."

"We are introducing budget targeting to reach a deficit-free budget in the long term. In the short term we plan to reduce the deficit to 2% from 3% of GDP," Finance Minister Oleksandr Danyliuk said, when presenting the document at a Cabinet meeting.

"In the debt policy our task is to reduce the level of public debt in 2018-2020 to 55% in 2020 from 66.8% of GDP," the finance minister added.

The government approved this bill with the condition of finalizing within three days.