Russian Head of General Staff Gerasimov hands award weapon to Syrian generalMilitary & Defense August 19, 9:10
German politician says Crimea should to be recognized as part of RussiaWorld August 19, 6:22
Russian Emergencies Ministry carries out over 430 humanitarian missions abroad since 1993Society & Culture August 19, 6:18
Olympic diving champion Zakharov to carry Russia’s flag at opening ceremony of UniversiadeSport August 19, 4:11
New defense attorney to be appointed in former Ukrainian president’s high treason caseWorld August 19, 4:04
Mayor says Izmir International Fair homage to memory of late Russian ambassadorWorld August 19, 3:59
Putin, Medvedev emphasize need to restore cultural facilities in CrimeaSociety & Culture August 19, 3:43
El Pais: all four suspects in Barcelona terror attack shot deadWorld August 19, 3:36
Foreign Ministry speaker Zakharova very passionate about her dollhouseRussian Politics & Diplomacy August 18, 23:01
WASHINGTON, December 20. /ITAR-TASS/. The situation in the Ukrainian economy is worsening, the International Monetary Fund (IMF) reported on Thursday.
“The Ukrainian economy has been in recession since mid-2012, and the outlook remains challenging. In January-September 2013 GDP contracted by 1ј percent y-o-y, reflecting lower demand for Ukrainian exports and falling investments,” the IMF said in a release. It also stresses: “Under currently planned policies, modest growth should return in 2014, driven by improvements in external demand, strong grain exports, and continuing consumption expansion.” In the view of the IMF experts, “However, this outlook is subject to significant risks, emanating from the inconsistent policy mix and heightened political and economic uncertainty in recent weeks.”
The fund’s experts called the Ukrainian energy sector “inefficient and opaque.” They believe that is “continues to weigh heavily on public finances and the economy. Overall energy subsidies in Ukraine reached about 75% of GDP in 2012.”
The IMF stressed that Ukraine continued to timely make all the payments to the IMF and “the authorities have reaffirmed their commitment to repay all outstanding Fund credit.”
The IMF said that “despite the Ukrainian authorities’ efforts to maintain macroeconomic stability amid worsening economic conditions, the current macroeconomic policy mix has generated large external and fiscal imbalances and has contributed to deepening the recession.” The Fund’s “directors recommended the authorities implement a package of comprehensive policy adjustments in several areas, including curtailing the fiscal and external current account deficits, phasing out energy subsidies, strengthening the banking sector, and improving the external competitiveness of the economy.