[bi3on.info] - International Monetary Fund (IMF) agreed to the necessity of a gradual price increase of natural gas for households and heating plants.«In particular, the prices will rise by 10% in April instead of the previously planned 50% increase», - said the IMF Resident Representative in Ukraine Max Alier.
"At first the deal was to rise price by 50%
in April, but then we agreed on a gradual increase - 10-20% in April
and June" - said Alier at the 7th annual conference of the
investment company Dragon Capital in Kyiv.
Alier said
that Ukraine has to improve its energy efficiency and turn Naftogaz
Ukraine into economically stable company. He said the current subsidiary
system is unfair and inefficient.
The representative of
IMF also emphasized a priority for Ukraine of pension system
reformation, because the share of pension payments in relation to GDP
and the level of budgetary subsidies to the Pension Fund of Ukraine is
one of the biggest in the world. "As a result – very low pensions,
because the system simply cannot exist that way for a long period of
time" - he said.
Among other measures which the IMF
expects from Ukraine, Alier called an establishment of the central
depository and completion of the recapitalization of three nationalized
banks within two to three months. Аt the end of July 2010
the IMF decided to resume its cooperation with Ukraine on a new stand-by
program (about $15.6 billion). Kyiv has already received the first two
tranches of loan. Program stand-by has an eight quarterly tranches,
starting from March 2011.
However, the IMF mission that
worked in Kyiv in February, was unable to recommend immediate allocation
of the third tranche, stating the need to postpone money transfer for a
few weeks more in order to work on revising the program to find
compensators for a smoother than previously estimated, raising of gas
price.
For the next tranche Ukraine was also to pass law
on pension reform at the end of March, but President Viktor Yanukovych
expressed the need to postpone it for further consideration. In
addition, the National Electricity Regulatory Commission has
delayed increase of tariffs for natural gas for households and
businesses purposes.
Source: radiosvoboda.org
translated by Bogdan Kyj
