Yatsenyuk agrees to onerous IMF terms
The Prime Minister has agreed to meet all the requirements of the IMF required for getting a loan. The list includes 10 requirements.
Requirement 1. To raise the retirement age — two years for men, three for women. To terminate the early retirement right and the “year for two” policy used in hazardous industries.
Requirement 2. To terminate the institution of special retirement benefits for scientists, government officials, top managers of state enterprises. To restrict pension payment for working pensioners. To set retirement age for army officers at 60 years.
Requirement 3. To raise 50% the price of gas for municipal enterprises, twice — for private consumers. To increase the cost of electricity by 40%. To allow pricing of the utilities. To allow a rise in prices resulting from higher price of gas. To increase the petrol excise tax by 60 euros.
Requirement 4. To cancel benefits, to raise transport taxes by 50%. To cap the minimum wage, to balance the social situation using targeted subsidies.
Requirement 5. To privatise all mines, to cancel all subsidies. To cancel allowances for municipal utilities, transport services, etc. To cancel state support for childbirth, free meals and textbooks.
Requirement 6. To limit the scope of simplified taxation. To abolish VAT exemptions in the countryside. To compel pharmacies and pharmacists to pay VAT.
Requirement 7. To lift the moratorium on sale of agricultural land. To cancel subsidies for o pork and chicken producers.
Requirement 8. To reduce the number of ministries to 14. To retain only one Vice-Premier Minister. To cancel the post of the Cabinet Minister. To eliminate six ministries. To subdue all public authorities to the ministries. Tax Administration, Customs, the State Property Fund should be the part of the Ministry of Finance.
Requirement 9. To limit excessive salaries of public servants.
Requirement 10. To provide unemployment benefits only after a minimum period of six months of work. Sick leave certificates will be paid at 70% of salary, but not below the minimum wage level. Sick leave will be paid starting from the third day of illness.
Yatsenyuk states that “Ukraine does not have other choice”.