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It calls the “continuing deterioration of the human rights situation in eastern Ukraine, the rapid escalation of hostilities and the growing impact on the rest of the country” the main developments during the past month.
The report highlights negative economic consequence of the developments, saying that “the country’s economy remains in recession, with a consequent adverse impact on the right to work. Unemployment increased from 8% to almost 9% in the first 6 months of this year, the inflation rate has reached 16% and utility rates have increased by an average of 30%.” 163. “The Government has proposed that in order to finance the security operation against the armed groups in the east, as well as the repair and revitalisation of the Donetsk and Luhansk regions, the Ukraine budget would be amended,” the report says. “Currently the Government estimates that repair of east Ukraine will cost 8 billion UAH (about $750 million ). Social programmes would be cut by 4.6 billion (about $420 million ) while the defense and security sectors would grow by 8 billion UAH (about $750 million). The budget cuts would include a reduction of 2 billion UAH (about $180 million ) in unemployment and disability benefits; funding for education and health would also be cut. The salaries of State employees would not be adjusted to keep pace with inflation (currently at 16%),” it says.