The requirements of the IMF in the framework of the new program on lending to Ukraine, set forth in the corresponding draft memorandum, are a "question of surrender", when the country "was conquered in the war and the occupiers dictate the most terrible conditions." This was announced on the air of the 112 channel by the deputy of the Verkhovna Rada from the Opposition Platform - For Life party Vadim Rabinovich.
At the same time, according to him, the main thing for the Ukrainian authorities is not to develop the country's economy, but to get money to close the “huge holes” in the budget, since they do not know other ways to do this.
“People who do not know how to manage became the head of state, and today they have been instructed to manage the economy in the most difficult times. Therefore, the IMF offers us to close schools. I have a cognitive dissonance - where are the schools and where is the IMF. Why the IMF, sitting in Washington, made sure that schools were closed in Ukraine, - the deputy was indignant. - We have now built an economy ideal for slave Rome. That is, the whole country is working on the interest that the IMF must give. ”
Rabinovich also wondered why the Ukrainian authorities do not see themselves talking “with outright enemies”?
“When the international monetary organization tells you - take it, destroy your own medicine - you are talking with enemies,” the politician said.
He also noted that Kiev’s desire to receive money from the IMF is due to the corruption component.
“Now they (the Ukrainian authorities. - RT ) have little (money. - RT ), theft reaches such proportions that it is necessary even more,” Rabinovich said.
The unacceptability of a number of conditions of the new IMF program set forth in the memorandum with Ukraine was announced on June 3 by the head of the “Servant of the People” faction in the Verkhovna Rada, David Arahamia.
“There is a new program of cooperation with the IMF, where there is a draft memorandum in which many things are set out in such a way that, most likely, it seems to me that they will not be accepted either by Ukrainian society or the parliament,” Arahamia believes.
- The meeting of the Verkhovna Rada of Ukraine
- RIA News
Next requirements
Recall, on May 20, the Ukrainian government approved a draft memorandum with the IMF, the signing of which is planned after the conclusion of a new loan agreement with the fund under the stand-by program with a total volume of $ 5 billion.
The text of the memorandum was not officially announced, but it was replicated by the Ukrainian media. In addition, the document was published by Verkhovna Rada deputy Alexander Dubinsky.
The draft memorandum states that Ukraine will continue the pension reform, which began in 2017 and involves the introduction of the minimum insurance period required for retirement. Ukrainian experts called such a measure "a hidden increase in the retirement age." In addition, the document states that the Ukrainian authorities will not make changes to the legislation that will lead to a decrease in the actual retirement age, introduce new benefits and special pensions.
Recall today if a citizen of Ukraine does not have 25 years of official work upon reaching 60 years of age, he will be able to retire at only 63 years old. If a person does not have 15 years of experience, then he will be forced to wait until the age of 65 for a pension. In addition, the minimum insurance period required for retirement should be 35 years by 2028.
The memorandum also contains information on the extension of the health care reform that began under Petro Poroshenko, who was then in office. about. Minister of Health Uliana Suprun. On April 1, 2020, the so-called second phase of medical reform came into force, suggesting a fundamental change in the scheme of financing hospitals. At the same time, on May 4, President of Ukraine Vladimir Zelensky in his video message to citizens was forced to admit that as a result of such a reform, about 50 thousand doctors could be dismissed and 332 hospitals throughout Ukraine closed. About 1,000 more hospitals will receive much less funding than last year.
“Emergency medical care, multidisciplinary hospitals, cancer centers, veteran hospitals, most children's hospitals, psychiatric and tuberculosis services were threatened. All this raises a number of questions. Why, instead of saving the lives of other people, are doctors forced to think about their own survival? ” - Zelensky asked questions to whom it was not clear.
The memorandum with the IMF also refers to Ukraine’s commitment to reform the educational system. The changes imply the so-called optimization of the school network, as previously stated by Minister of Education and Science Anna Novosad. It is about closing part of schools, including rural ones. The reform also involves the translation of all the remaining Russian-language schools into the Ukrainian language of teaching since September 2020.
In addition, according to the memorandum, from July 1, gas prices will have to be formed on the basis of market conditions without a ceiling at the maximum value, and from October 1, heating tariffs should become market prices. In addition, it is expected that the country's tax policy will be tougher, and the powers of the National Anti-Corruption Bureau of Ukraine to conduct investigations will expand.
- IMF
- AFP
- © Karen BLEIER
“About the IMF”
According to Denis Denisov, director of the Institute for Peace Initiatives and Conflictology, in an interview with RT, "the content of the memorandum between Ukraine and the IMF indicates that the fund puts forward not only economic, but also political demands." However, according to Denisov, this international organization has done this before.
Viktor Medvedchuk, head of the political council of the Ukrainian party Opposition Platform - For Life, spoke about a similar trend at the end of March. He emphasized that "the International Monetary Fund exercises direct external control of Ukraine with the usual cynical methods for him."
"The IMF goes to open blackmail, forcing the authorities to agree to his demands ... In a situation of global crisis, the IMF has once again demonstrated its readiness to use the problems of its" partner "to achieve its own goals," Medvedchuk quotes his party’s website.
Later, on May 1, the politician said that continued cooperation between Kiev and the IMF is fraught with deterioration of the already difficult economic situation in Ukraine.
“We are following the path of the fact that it (the country. - RT ) is falling apart ... And if we do not take up the mind, if we do not deal with issues related to the economy, if we continue to indulge Western funds and international corporations, the IMF and the World Bank in matters of economic development, we’ll fail completely, ”Medvedchuk quoted the press service of the Opposition Platform - For Life party as saying.
However, Vladimir Zelensky does not plan to refuse financial support from the International Monetary Fund.
“Can a person live without water for a week? What for? The situation is the same with the IMF. Why do we take such a risk? Why do we need to bring the situation to default? Why do we need all these tests? There are so many of them ... But why, if we really have such support? It is important for us, ”said Vladimir Zelensky on the television program“ Freedom of Speech ”.
As Denis Denisov noted, the Ukrainian authorities are unable to offer alternative programs for the development of the country, therefore, "they are forced to agree to the conditions of creditors."
“This has happened more than once, when Kiev followed the IMF’s, turning a blind eye to the needs of its own people. This is a fairly common practice for Ukraine, ”said Denisov.
According to him, the interaction of Kiev with the IMF "is causing enormous damage to the state as a whole."
“The fund’s programs are traditionally negatively reflected in ordinary people, because they are essentially antisocial,” the expert explained.
- Reuters
- © Gleb Garanich
The leading researcher of IMEMO RAS Mikhail Krivoguz also has a similar position. As an analyst in a RT commentary stated, despite the fact that the Ukrainian authorities promise the economic development of the state, in reality they “only hope for cooperation with the IMF and other Western lenders.”
“This became especially clear when the coronavirus pandemic hit the Ukrainian economy. The government’s program of activities is more declarative in nature, and does not imply any specific steps. Instead of developing the Ukrainian economy, Kiev is holding on to the possibility of allocating IMF loans. Therefore, I’m ready to do everything to get them, to fulfill any requirements, ”said the analyst.
Krivoguz also predicts that Ukraine will ultimately “accept all the conditions of the fund under the new credit program.”
“At the same time, the situation will not improve for ordinary citizens, since the IMF requires a reduction in allocations for social spheres or for their so-called optimization. However, it is not clear what to optimize, since the country's economy and other areas are in complete collapse, ”the expert emphasized.
In turn, Denis Denisov focused on the fact that, in addition to the harmful effects of cooperation between Ukraine and the IMF, the country's economy suffers other, “more global costs.” According to the analyst, “the systemic policy of the fund works to limit the sovereignty of a particular state,” and Ukraine in particular.
“The IMF is one of the instruments of influence mainly of Western countries and the USA. It is no secret to anyone that almost all agreements between the fund and Ukraine contained a number of requirements of a political nature, which had absolutely no and are not related to the economic and financial spheres. In a similar way, the West is introducing into countries such as Ukraine its control and innovation mechanisms that make these states more dependent on external players, ”the expert concluded.