Key Takeaways
- The IMF official has backed Ukraine’s plan to raise taxes, supporting the country’s economic measures.
- The Ukrainian government is raising taxes to increase funding for the armed forces, which have exhausted their current sources of funding.
- The tax reform plan is expected to boost the country’s economy and provide much-needed funding for the armed forces.
Kiev: The head of the International Monetary Fund (IMF) mission in Ukraine, Gavin Gray, supported the Ukrainian government‘s plans to raise taxes, Ukrainian media reported on Tuesday.
On July 18, Ukrainian lawmaker Yaroslav Zheleznyak said that the government had prepared a bill on raising taxes which, in particular, proposed raising the military tax rate.
On the same day, Taras Melnychuk, the Ukrainian government’s representative to the parliament, said that the government had approved a bill providing for an increase in defence spending by 495.3 billion hryvnia ($12 billion).
On August 1, Ukrainian Finance Minister Sergii Marchenko said that the sources for increasing funding for the country’s armed forces had been exhausted, and that raising taxes was necessary.
