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KIEV, December 25 (Itar-Tass) — Ukraine’s state budget for 2013 will be a survival budget that will require austerity policies, President Viktor Yanukovich said on Tuesday.
“It is obvious that the 2013 budget funds must be used efficiently. No one is satisfied with the state budget endorsed for the next year. It key goal is to prevent deterioration of social protection in conditions of a difficult economic situation,” he said at a meeting of the Council of Regions.
According the president, the 2013 state budget needs to be revised based on the results of the first quarter of the next year. He instructed the government to work out proposals to toughen control over the use of budgetary funds. “We must save each hryvna. It will be a survival budget. It might be a development budget only in case of tough economy,” he stressed.
The budgetary situation is complicated by the fact that the country will have to pay nine billion U.S. dollars of foreign debts, Yanukovich noted. “In 2013 we expect closer cooperation with international financial organization, such as the International Monetary Fund (IMF) and the World Bank,” he added.