Rada Budget Committee in favor of increase in state budget expenditures for 2023 by UAH 328.5 bln

KYIV. Sept 20 (Interfax-Ukraine) – On September 19, the Budget Committee of the Verkhovna Rada supported the adoption at the first and final readings bill No. 10038 on amendments to the state budget for 2023, which proposes to increase its expenses by UAH 328.5 billion, including UAH 302.6 billion for security and defense needs, the head of the committee, Roksolana Pidlasa, has said.

“Parliament and the government always promptly respond to requests from the military, so I have no doubt that such an increase will be supported by MPs. As for sources of coverage, we will have to borrow most of the necessary funds – almost UAH 299 billion, of which about UAH 208 billion in the domestic market, part of the funds will come from the overfulfillment of non-tax revenues,” she wrote on Facebook.

According to the head of the committee, of the UAH 303 billion for defense needs, UAH 195.7 billion will be allocated to the Armed Forces of Ukraine, UAH 39.7 billion to the National Guard, UAH 20.4 billion to the State Border Guard Service, UAH 19 billion to the National Police, UAH 4.2 billion to the Security Service of Ukraine and UAH 2.5 billion – to Defense Intelligence of the Ministry of Defense.

Another UAH 13.2 billion is planned to be spent on the purchase and modernization of military equipment and weapons of the Armed Forces of Ukraine, UAH 4.4 billion will be allocated to the Ministry for Strategic Industries for the production of weapons and ammunition in Ukraine, and UAH 2.1 billion to the State Special Transport Service of the Ministry of Defense, Pidlasa added .

In addition, UAH 570.2 million are proposed to be allocated for the needs of the State Special Communications Service, UAH 500.7 million for the Foreign Intelligence Service, UAH 230.5 million for the needs of the Civil Defense Administration and UAH 151 million for remuneration of cadets of the Ministry of Internal Affairs.

The head of the committee said that funds will be allocated in each department for salaries, monetary rewards, military and special equipment.

Also, according to the bill, it is proposed to increase spending on assistance in living conditions for internally displaced persons – by UAH 16.5 billion, fast recovery (due to a grant from the European Union) – by UAH 5.97 billion.

According to her, the Ministry of Foreign Affairs will also receive additional funding of UAH 1.2 billion, in particular, for diplomatic institutions in Africa and the Arabian Peninsula and for supporting Ukraine in cases against Russia in the International Court of Justice and arbitration tribunals for the law of the sea.

In addition, it is planned to allocate UAH 552.8 million for the publication of school textbooks.

Pidlasa added that it is planned to reduce other expenses by UAH 11.4 billion, mainly by reducing the cost of servicing the public debt (by UAH 10.7 billion).

As reported, on September 12, the Cabinet of Ministers approved a bill that proposed increasing state budget expenditures by UAH 328.5 billion. The Ministry of Finance said that the funds are expected to be allocated by increasing domestic borrowing by UAH 207.6 billion and external borrowing by UAH 91.2 billion, including $3.3 billion from the United States, and reducing state budget expenditures by UAH 11.4 billion and increasing receipts by UAH 26.1 billion.

As indicated by First Deputy Head of the Committee on Finance, Tax and Customs Policy Yaroslav Zhelezniak, it is also proposed to increase funding for the Bureau of Economic Security by UAH 315 million and the State Aviation Service of Ukraine by UAH 185.4 million this year, and the Innovation Development Fund by UAH 30 million and provide another UAH 91.2 million for the maintenance of prisoners of war.

In his opinion, the bill as submitted is unlikely to be adopted, since many expenses do not meet the declared principle of security and defense.

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