Yanukovych: Economic reform program creates new model of local government

The country's economic reform program is to create a new model of local government, Ukrainian President Viktor Yanukovych has said.

"Regional development is an equally important component of the reform program. An imperfect system of government and the ineffective activities of the local authorities in Ukraine are a traditional obstacle to our development. Therefore, the country is badly in need of a new model of local government, in the interests of the state, in the regions, territorial communities, local businesses, enterprises and agencies," he said in Kyiv on Wednesday, while presenting an economic reform program.

Yanukovych said that Ukraine was "doomed" to failure without reforms, because the country had long been in a state of economic stagnation.

"I emphasize that reform should be carried out quickly and in a coordinated manner," he said.

He said that as a result of reform, the budget deficit in 2013-2014 should be reduced to 2% of GDP, with inflation declining to 5-6%, and the average size of pensions set at no less than 45% of the average wage.

"A very important task of reform is the radical improvement in the lives of citizens," Yanukovych said.

He also noted that all steps taken by the authorities in this regard should be transparent and public.