IMF demands will make most Ukrainians homeless – Finance Minister of Ukraine

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May 14, 2015

Rusvesna

Translated by Kristina Rus

Fulfilling the requirements of the IMF will make the majority of Ukrainians homeless – said the Minister of Finance of Ukraine, according to Ukrainian portal MIGnews.

The International Monetary Fund expects the Ukrainian authorities to adopt such laws which will make the majority of the population in the country homeless, said the Finance Minister of American origin Natalie Jaresko.

According to her, one of the outstanding issues before the transfer to the Ukrainian authorities of the next IMF loan is the failure of the Verkhovna Rada to pass some bills.

In particular, the following: “The bills related to improving the capabilities of “Naftogaz” to collect their receivables. We are talking about the removal of various existing barriers, which currently do not allow this,” – said Jaresko.

According to her, there are two such problem bills. “One of these bills, I know, is on the agenda of the Verkhovna Rada on Thursday, and the second one the government will have to submit a second time, since it failed to pass”, — said the Minister of Finance.

Currently in Ukraine there is a moratorium on forced evictions of debtors. This is justified under conditions of a severe economic crisis in Ukraine, frozen wages and social benefits.

The consequence of the crisis was the rise in unemployment and a sharp fall in real incomes. People are objectively unable to pay the utility bills, which the government of Arseniy Yatsenyuk raised several times.

The second bill will make the rates profitable for the utility companies. Currently the utility companies are mostly municipal and are subsidized from the budget, operating without profit or at low profit.

The adoption of the law, rejected by Parliament, will allow to raise utility prices several more times — now by decisions of the enterprises themselves, which will be granted such a right.

The adoption of this law will make Ukrainian housing and utility services attractive for foreign companies, emphasized earlier Prime Minister of Ukraine Yatsenyuk.

In case of adoption of these IMF bills the utility rates will increase several more times, the housing sector will pass to foreign companies, which will begin evicting Ukrainians from their homes for non-payment.

Ukraine in the framework of the joint program with the International Monetary Fund expects to receive a second tranche of approximately $1.7 billion.

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