The Verkhovna Rada passed a law on the state budget of Ukraine for 2022. Draft No. 6000 was supported by 268 deputies in general. This is reported by RBC-Ukraine with reference to the meeting of the Rada on December 2, which was broadcast on Youtube.
Revenues and expenditures
The state budget revenues will be 1.322 trillion hryvnia, while expenditures will be 1.498 trillion hryvnia. Compared to the first reading, revenues and expenditures increased by UAH 55 billion. The state budget deficit will amount to 189bn hryvnias (3.5% of GDP).
The forecast of the nominal GDP amounts to 5.369 trillion hryvnyas. Real GDP growth in Ukraine is expected at 3.8%.
US dollar exchange rate
The budget for 2022, the average annual rate is set at 28.6 UAH / dollar and 28.7 UAH / dollar at the end of the year.
Inflation
The Cabinet of Ministers predicts that the growth of consumer prices (December to December) will be 6.2%,
Minimum Wage
The Cabinet of Ministers has included a slight increase in the minimum wage in the state budget draft for 2022. The minimum wage will increase by 200 hryvnia as of October 1 to 6700 hryvnia.
Subsidies
Expenditures on allowances and housing subsidies for citizens to pay for housing and communal services will amount to 38.4 billion hryvnia. This is less than planned to spend in 2021 (about 47.2 billion hryvnia).
At the same time the Cabinet of Ministers in a memorandum with the IMF undertook to increase the cost of housing subsidies for citizens in the spring of 2022. During this period, it is expected to increase tariffs for housing and utility services.
Living wage and minimum pension
The draft of the state budget provides for an 8.2% increase in the subsistence minimum for the incapacitated (minimum pension). Pensions will be increased on July 1 and December 1.
In 2022 the living wage per person per month is set at 2,393 hryvnia from January 1, 2,508 hryvnia from July 1 and 2,589 hryvnia from December 1, while for the main social and demographic groups:
children under 6 years of age: from January 1 - 2100 hryvnia, from July 1 - 2201 hryvnia, from December 1 - 2272 hryvnia;
Children aged 6-18 years: since January 1 - 2,618 UAH, since July 1 - 2,744 UAH, since December 1 - 2,833 UAH;
Working-age persons: since January 1 - 2,481 UAH, since July 1 - 2,600 UAH, since December 1 - 2,684 UAH;
Persons of working age, which is used to determine the basic amount of the official salary of a judge: from January 1 - UAH 2102
Persons of working age, which is applied to determine the official salary of employees of other state agencies, whose remuneration is regulated by special laws, as well as employees of tax and customs authorities: from 1 January - UAH 2102
Persons of ability to work, which is applied to determine the official salary of prosecutors of the district prosecutor's office: from January 1 - 1,600 hryvnia;
Persons, who lost working capacity: from January 1 - UAH 1934; from July 1 - UAH 2027; from December 1 - UAH 2093.
Privatization
The Cabinet of Ministers included in the state budget draft for 2022 the privatization revenues in the amount of UAH 8 billion. This is 1.5 times less than it is planned to receive in 2021.
Borrowing
Borrowings are planned at UAH 571.1 billion, including internal - UAH 429.9 billion, external - UAH 151.2 billion.
IMF loans
The draft state budget for 2022 includes 2.89 billion dollars in loans from the IMF.
Spending on defense
The total resource for national security and defence is set at UAH 323bn or 6% of GDP.
Changes for the second reading
The Cabinet of Ministers has increased the revenues and expenditures of the state budget 2022 by 55 billion hryvnias by the second reading.
As stated in the explanatory note to the draft, one of the main factors that influenced the revision of the revenue forecast is the consideration of proposals from the Budget conclusions of the Verkhovna Rada.
The changes were also caused by clarification of the forecasted annual average prices for raw materials, in particular for imported natural gas, Brent oil and the global price of iron ore, which led to a change in state budget revenues.
Spending on officials and law enforcers
In the draft state budget for 2022 the Cabinet of Ministers for the second reading fixed an increase in expenses for President, Verkhovna Rada and Government. On the whole, the expenses have been increased by 206.4m hryvnia.
In addition, for the second reading an increase in spending on law enforcement agencies. In general, costs have been increased by 4.3 billion hryvnia.
Also the Cabinet of Ministers has increased by five times the amount of costs for the project "Presidential University" for the second reading. It is planned to spend UAH 500 million.
We shall remind you that state budget revenues-2021 are significantly higher than planned. The state budget revenues of Ukraine for January-November 2021 amounted to UAH 1 159.4 billion. This is 4.2 percent more than planned and 22.7 percent more than last year.
