Prices grew due to inefficient work of government - OU-PSD member

12:34, 10 October 2007
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And not because of the election

“Being the first head deputy of the VR’s budgetary committee I announced that the inflation in Mr. Azarov’s project will reach 12-13% instead of 7.5% forecasted by the government”, - the OU – PSD member Pavlo Zhebrivskyi said in his comment to the website RAZOM.

      According to him, the Cabinet of Ministry considered it possible to prevent exceeding the level of inflation but the forecasts of the OU, as the forecasts of the World Bank experts proved correct.

      At the same time Mr. Zhebrivskyi noticed that the elections have nothing to do with the inflation in Ukraine. He also told that the Cabinet of Ministry has done nothing to keep the inflation at the rate of promised 7.5%.

      To his mind, the cabinet’s policy in cattle breeding sector was also imperfect. As a result prices for milk and meet rose enormously.

      According to him, “food prices that rose were prices for bread production (wheat) and for livestock products (milk and meat)”.

      “The Cabinet of Ministry hasn’t become the one who regulates prices on Ukrainian market. Today for grain of the third sort cost 1200 – 1300 per tonne. It’s a clear reason of bread prices’ increase”, - he is sure.

      At the same time, the Bloc’s member noticed the inefficient work of the Housing Minister who wasn’t able to prevent communal tariffs rising.

      “It’s impossible to reform the housing and communal economy without investments, including the state ones”, - he added.

      To his mind, the present Cabinet of Ministry hasn’t implemented any of its duties. “I hope that the new democratic parliament will be wise enough not to cause a backflash once more”, - Mr. Zhebrivskyi emphasized.

      Let us remind that according to data of the State statistics committee, the inflation in Ukraine reached 2.2% in September exceeding fourfold the forecast of the Economy Ministry; the inflation reached 8.6% since the beginning of the year.

      Food rose in price by 3% in September, other products – by 04%, services – 2.2%. Since the beginning of the year the prices have risen by 12.4%, 1.1% and 8.7% accordingly.

      Food prices rose by 14% in August 2006. That is the highest rate for the year. The inflation in January – September period of 2007 is by 11.9% higher than the one of 2006. That is also the highest rate of the year.

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