Page 32 - UKRRptOct18

6.0 Public Sector 6.1 Budget
Budget and debt indicators
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
State budget revenues, UAH bln
231.7
209.7
240.6
314.6
346
339.2
357
519
616.3
793.4
905.2
% of GDP
24.40%
23.00%
22.30%
24.20%
24.60%
23.20%
22.80%
26.90%
26.20%
26.60%
25.80%
State budget expenditures, UAH bln
244.2
245.2
304.9
338.1
399.4
403.9
435
552
686.4
841.3
1001
% of GDP
25.80%
26.80%
28.30%
26.00%
28.40%
27.60%
27.80%
29.20%
28.90%
28.20%
28.50%
State budget balance, UAH bln
-12.5
-35.5
-64.3
-23.6
-53.4
-64.7
-78
-33
-70.1
-47.9
-96
% of GDP
-1.3%
-3.9%
-6.0%
-1.8%
-3.8%
-4.4%
-5.0%
-1.7%
-3.0%
-1.60%
-2.70%
Public debt, UAH bln
189
318
432
473
516
584
1,101
1,594
1,930
2142
2285
% GDP
20.00%
34.80%
40.10%
36.40%
36.70%
39.90%
70.30%
82.70%
82.10%
71.80%
65.20%
S ource: SP Advisors
Ukraine’s general budget balance switched to a surplus of UAH26.9bn ($950mn) in August from a UAH2.1bn deficit in July, the State Treasury reported on September 25.
The result was attributed to slower spending growth.
General budget revenue increased 17.1% year-on-year to UAH117.3bn, decelerating from 19.1% y/y growth in the prior month. Meanwhile, budget expenditures rose 7.1% y/y to UAH90.4bn, slowing from 24.0% y/y growth in July.
Tax revenue increased 17.7%, slowing from 28.4% y/y growth in July. In particular, the enterprise profit tax advanced 30.9% y/y from 13.4% growth in July. Meanwhile, rent payments for the use of natural resources declined 32.5% y/y due to a high comparative base in August 2017, when rent payments surged almost 6 times month-on-month. Personal tax income advanced 24.0% y/y, while net VAT receipts increased 23.3% y/y.
Non-tax revenue picked up 10.3% y/y after declining 27.5% y/y in the previous month. In particular, income from ownership and entrepreneurship increased 13.6% y/y after plummeting 77.5% y/y in July.
In January-August the general budget posted a surplus of UAH35.1bn amid revenue growth of 15.3% y/y and an expenditure surge of 22.7% y/y. General budget revenue has already met 67% of the 2018 plan in January-August, while expenditures are at 57%.
In January-August, Ukraine’s domestic borrowing amounted to UAH114.4bn, or 92% of annual plan. At the same time, external borrowing totalled UAH23.9bn in eight months of 2018, which is only 22% of annual plan, Evgeniya Akhtyrko at Kyiv-based brokerage Concorde Capital wrote in a note on September 27.
32 UKRAINE Country Report October 2018 www.intellinews.com