PM of Ukraine Comments Cooperation with IMF
OREANDA-NEWS.March 19, 2012. The Government is a responsible attitude to cooperation with the International Monetary Fund. This was declared by the Prime Minister of Ukraine Mykola Azarov on air of the program "Exam for Power" on First National TV.
"We treat our work with the IMF very seriously. Our task is switch the cooperation in the plane, above all, a constructive: that is to take money for not eating as there were in 2008 and 2009 - unclear where they went to.... We are committed to constructive dialogue with the IMF," Mykola Azarov said, commenting on progress of negotiations with the Fund concerning continuation of the program of cooperation.
The PM emphasized the credit of 2008-2009 has been provided by the International Monetary Fund at a sufficiently unfavorable conditions for Ukraine: "So, if the loan was given on terms of, say, 15 years and 3% per annum, it would be really advantageous loan but it has been given us in 2008 under conditions of returning its significant part in 2012. And we have already returned 500 million USD in January, and we must return 3 more billion 200million by end of the year. And a significant portion will have to return next year."
The previous Government did nothing for the country by means of money received from the IMF: "Just have disappeared this money and there is an end to it."
In order to pay debts, the current Government simply tears off this money to solve urgent problems."How many could have been done, if not to return these 3.75 billion dollars, and to release them for example in reform and modernization of housing and communal services," he stressed.
At the same time, according to PM, the main obstacle to further cooperation with the IMF is a requirement of the Fund to increase gas tariffs for the population.
"Then tariffs will increase at least 2 times, i.e., the average rent will be approximately one thousand UAH. Let's ask our people: they will be able pay this money? They will not be able," Mykola Azarov underlined.
Prime Minister believes our citizens should not pay for the mistakes of the previous government through their fault it have been signed shackling gas agreements and as a result, Ukraine has the price of gas highest in Europe.
In this issue, Mykola Azarov noted, there is one more nuance: the huge heat loss in housing and communal services, which people should not pay for. According to him, first it is need to upgrade housing and communal services under international standards, and then talk about compliance of tariffs to the European approaches.
According to Azarov, the Ukrainian Government operates with these arguments in negotiations with the IMF.
"If these conditions that put forward the IMF to us, consistent with our approaches, we are with appreciation carry out work with them, take a loan, and use it absolutely right: send to address serious issues of development of the country and then these money works for the future. But if these approaches do not meet, then what do we need? To do by one's own strength, to search for other creditors, to seek other opportunities. What we are and doing with all this time," said Mykola Azarov.
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