Kernes does not want to repay

20 June 2017, 14:48 | Economy
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The State Treasury Service sent letters to local authorities asking them to "confirm their readiness" to pay back debts to the treasury for previous periods. This is stated in letters of the Treasury, which are at the disposal of the EP. The State Treasury expects an answer from the cities before June 21. This is the debt on short-term loans received from the treasury account in 2009-2014. Local budgets have accepted such loans to cover cash gaps, that is, to finance expenses in the absence of income for a certain period of time. Also in the letter of the Treasury signed by the First Deputy Head of the State Treasury of Ukraine Dudy it is said that the State Treasury has already developed a draft resolution on the procedure for repaying loans and sent it for approval to the Ministry of Finance. Cities, in turn, accuse the government of incorrect budget calculations and require that the debt be written off. Otherwise, other expenses will be underfunded. For example, as of June 1, 2017, the amount of Chernivtsi's debt was 419.1 million UAH. "In fact, local budgets accumulated debts as a result of overstating the estimated volumes of income of the first basket and the long-term non-fulfillment of these indicators. ] Debts on medium-term loans should be written off, "- wrote in an official letter the head of the department of economic analysis and planning of budget revenues of the Chernivtsi City Council Svetlana Adamovich. A similar position was voiced by other cities, including Ivano-Frankivsk, Chernigov and Kharkov.

Thus, the Kharkov Mayor Gennady Kernes wrote a letter to the Minister of Finance Alexander Danilyuk, in which he stated that "the income indicators established by the laws on the state budget in 2010-2013 exceeded the real possibilities for their implementation" and therefore the cities were forced to borrow from the treasury. Kharkov must state treasury 360.9 million UAH. According to Kernes, the debt to the treasury must also be written off. According to the Association of Ukrainian Cities, the volume of debts on medium-term loans for previous periods is 9 billion UAH.




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