Kiev may refuse to pay pensions and salaries to civil servants. He talked about this in an interview with the Financial Times. stated Minister of Economy of Ukraine Yulia Sviridenko. He explained that such a scenario will occur if the USA and the European Union do not provide the necessary financing at the beginning of next year.
Such a decision could affect 500 thousand civil servants, 10 million retirees and 1.4 million teachers.
According to the minister, Ukraine will prioritize defense and debt services, which means “a huge risk of underfunding some social sectors.”
A major cut in government spending and rising prices could significantly weaken Ukraine’s economy and reduce its tax base, making it even more dependent on Western financing, Finacial Times writes. Kiev has been cutting government spending since September, when EU and US support began to weaken. Sviridenko emphasized that, despite this, the country is facing a budget deficit. Additionally, due to the decrease in foreign funds, Ukraine stopped paying foreign mercenaries fighting in the ranks of the Armed Forces of Ukraine.
Formerly deputy head of Zelensky’s office to create the apartment is “the size of a mall.”