Monthly Monitoring of Main Indicators of the Budget System of Ukraine As
Total Page:16
File Type:pdf, Size:1020Kb
MMoonntthhllyy MMoonniittoorriinngg ooff MMaaiinn IInnddiiccaattoorrss ooff tthhee BBuuddggeett SSyysstteemm ooff UUkkrraaiinnee aass ooff JJuunnee 11,, 22001133 The Monitoring of Main Indicators of Budget System of Ukraine is a monthly publication prepared based on the data of official statistics. It contains a brief analysis and selections of graphs and charts illustrating the main changes occurring in the budget system of Ukraine. This product is made possible by the generous support of the American people through the United States Agency for International Development (USAID). The contents are the responsibility of the Institute for Budgetary and Socio-Economic Research (IBSER) and do not necessarily reflect the views of USAID or the United States Government. 15-V, Borysoglibs’ka Str., 2st floor, Kyiv, 04070, Ukraine Phone: (38 044) 353-58-68, 492-97-80/81 Fax: (38 044) 492-97-83 Contents Monitoring of the Execution of the Consolidated, State and Local Budgets in Ukraine..................................................................................................................4 State Budget Revenues .............................................................................................6 Local Budget Revenues ...........................................................................................10 State Budget Deficit .................................................................................................13 Consolidated Budget Expenditures..........................................................................16 State Budget Expenditures.......................................................................................18 Local Budget Expenditures ......................................................................................28 3 Monitoring of the Execution of the Consolidated, State and Local Budgets in Ukraine · The actual revenue intake of the consolidated budget of Ukraine totaled UAH 175.4bn in January-May 2013, which is UAH 4.4bn or 2.5% more year-on-year. The monthly intake totaled UAH 36.9bn, which is UAH 3.9bn or 9.6% less than in May 2012. · The State budget received UAH 135.3bn in the first five months of 2013, which is UAH 2.4bn or 1.8% more than the respective indicator of last year. In May 2013, the State budget revenues totaled UAH 29.2bn, which is UAH 3.0bn or 9.3% less than in May 2012. The main reason for such a decline was a drop in revenues from the value-added tax, with a shortfall of UAH 4.2bn year-to-date or 7.6% less year-on-year. The plan for this tax was fulfilled by 33.2% compared to the level of actual intake in the said period of appr. 40.0% over the last five years. Such a low level of plan execution gives grounds to forecast a shortfall for the VAT revenue plan, with the shortfall likely to exceed UAH 10bn or nearly 7% of the target. The monthly intake of revenues from VAT into the budget was also UAH 0.8bn less than in May 2012. In addition, May 2013 showed a decline in monthly revenues from such tax sources as import duty (UAH 0.2bn vs. UAH 1.0bn in average monthly revenues in the last 16 months) and excise tax on goods made in Ukraine (UAH 1.0bn vs. UAH 2.3bn in average monthly revenues in the last 16 months). At the same time, the plan was exceeded for the revenues from such sources as enterprise profit tax (the level of plan execution amounted to 46.6%). · The consolidated budget expenditures totaled UAH 197.1bn in January-May 2013, which is 13.0% or UAH 22.7bn more that the respective 2012 figure. Expenditures totaled UAH 41.0bn in May 2013, which is 6.0% or UAH 2.3bn more than in May 2012. Compared to the same indicator of 2012, the consolidated budget expenditures increased for more than a half of items as per functional classification of expenditures. The highest year-on-year growth of 58.8% was noted for State debt servicing expenditures, which reached UAH 3.3bn, which has had a significant impact on increase of expenditures for general government (27.8%), which totaled UAH 5.4bn in May 2013. Increase was also noted in expenditures for the housing and communal services sector (27.2%) and social protection and social security (17.8%). A slight growth occurred in expenditures for public order, security, and judiciary (8.5%), healthcare (2.8%), and environmental protection (1.0%). There was a decline in expenditures for defense (15.1%), economic activity (14.7%), education (2.4%), and spiritual and physical development (0.3%). · The actual expenditures of the State budget of Ukraine totaled UAH 153.8bn in January-May 2013, which is 13.4% more year-on-year. The expenditures totaled UAH 32.1bn in May 2013, which is 4.0% more than the respective indicator of 2012. In terms of expenditures by functional classification, the following changes were observed compared to May 2012: – expenditures for general government functions (without expenditures for servicing of the State debt) decreased by 6.6% and amounted to UAH 1.3bn. Expenditures for servicing the State debt totaled UAH 3.3bn; – expenditures for defense decreased by 15.1% and totaled UAH 1.0bn; – expenditures for public order, security, and judiciary increased by 8.6% and totaled UAH 3.2bn; 4 – expenditures for economic activity decreased by 18.9% and totaled UAH 3.6bn; – expenditures for environmental protection decreased by 1.7% to UAH 289.1mn; – expenditures for housing and communal services increased 2.4 times to UAH 10.4mn; – expenditures for healthcare increased by 29.9% and totaled UAH 958.5mn; – expenditures for the spiritual and physical development decreased by 1.1% and amounted to UAH 460.8mn; – expenditures for education decreased by 4.8% and totaled UAH 2.3bn; – expenditures for social protection and social security increased by 16.7% and amounted to UAH 7.3 bn. The State budget funds at the amount of UAH 1.8bn were remitted to cover the Pension Fund deficit for payment of pensions. · The State budget received UAH 777.3mn in repaid credits in May 2013, including remittances to the General Fund of the State budget at the amount of UAH 35.2mn. The State budget issued a total of UAH 219.5mn in credits in May 2013. · As of the end of May 2013, the State and State-guaranteed debt of Ukraine decreased to UAH 548.2bn, including: State-guaranteed external debt of UAH 301.2bn (54.9%); and State and State-guaranteed internal debt of UAH 247.0bn (45.1%). A State budget deficit of UAH 34.6bn was observed in May of this year. Repayment of the State budget debt principal totaled UAH 26.8bn in January-May 2013. Internal debt repayment totaled UAH 15.2bn and external debt repayment totaled UAH 11.6bn. State borrowing for the State budget totaled UAH 64.5bn, including nearly UAH 63.0bn for the General Fund (including issue of internal government bonds to replenish the statutory capital of NAK Naftogaz of Ukraine at the amount of UAH 8.0bn). There were UAH 45.0bn mobilized on the internal market, and UAH 19.5bn was borrowed from external sources, including UAH 1.6bn for the Special Fund for financing joint development projects with international organizations. · The State budget received UAH 5.2mn from privatization of State property in May 2013, compared to UAH 321.2mn received last May. · The total local budget revenues (without intergovernmental transfers) amounted to more than UAH 40.7bn in January-May 2013, which is 6.8% more than the respective indicator of 2012. These revenues totaled UAH 8.6bn in May 2013. It was for the first time year-to-date, that monthly revenues of local budgets were lower (by 0.8%) than the respective indicator of last year. The General Fund of local budgets received UAH 6.8bn and Special Fund received UAH 1.8bn in May 2013. The highest growth rate of 12.1% year-on-year by region was observed in the city of Kyiv. A reduction in indicators was recorded in 18 regions, with the highest drop (-16.1%) recorded in the Poltava oblast. · The local budget expenditures (without intergovernmental transfers) totaled UAH 87.9bn in January-May 2013, which is 9.9% more than the respective indicator of 2012. Expenditures increased by nearly 4.3% in May 2013 year-on-year and totaled UAH 17.2bn. The General Fund expenditures of local budgets totaled UAH 15.1bn and Special Fund expenditures totaled UAH 2.1bn. The highest growth rate by region was observed in the city of Kyiv, where expenditures increased by 23.3% year-on-year. At the same time, expenditures decreased in six oblasts, with the largest decrease (- 18.5%) recorded in the Chernivtsi oblast. 5 State Budget Revenue Graph 1 State Budget Total Revenue Monthly Trends in 2008–2013 (Less Intergovernmental Transfers) 45000.0 2008 2009 2010 2010* 2011 2012 2013 40000.0 35000.0 31 292.7 30000.0 23 200.7 28 955.2 29 222.1 25000.0 22 669.3 20000.0 UAH mn UAH 15000.0 10000.0 5000.0 0.0 July May June April March August January October February December November September *excluding the amount of VAT reimbursement debt of Hr 16.4bn Diagram 1 Dynamics of the Share of Ukraine’s State Budget Revenue in Annual Amounts in 2008–2013 January 6.4 8.6 8.0 6.2 8.1 2013* February March 6.3 8.7 7.3 6.9 9.3 8.5 6.8 9.9 7.4 7.8 9.3 10,7 2012 April May 2011 5.8 8.4 6.9 7.4 9.3 6.4 9.4 10.5 7.9 8.0 10.3 9.7 June July 2010 5.8 6.1 8.1 8.8 7.6 7.1 9.5 9.3 7.4 8.5 12.1 9.8 August September 2009 6.0 8.3 8.6 9.5 7.0 5.5 6.5 8.7 6.0 7.5 15.6 10.8 October November 2008 6.1 7.5 6.7 8.4 10.0 6.6 8.0 11.2 8.6 8.1 8.6 10.2 December 0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0 % * A share of total expenditures according to the planned annual index 6 Graph