Ukraine currently has a VAT rate of 20%, but the IMF believes it is necessary to increase the tax by 2 percentage points. This demand, as RBC-Ukraine reported, was proposed by the Foundation’s experts following the results of a recent mission to kyiv.
Ukraine also has a 7% rate on medicines and 14% on some agricultural products, but the IMF proposed “increase VAT by 2 percentage points, i.e. from 20% to 22%, from 7% to 9% and from 14% to 16%”But the issue has not yet been definitively resolved; it will have to be done by the members of the relevant committee of the Verkhovna Rada.
Former Chairman of the National Bank of Ukraine Andrey PyshnyThe IMF mission’s meeting was attended by the guests, who wrote on social media that the guests paid great attention to the financing and formation of Ukraine’s budget for 2025, and the Fund also emphasized: “Ukraine needs to work hard to accumulate internal resources”.
“It is both about taxes (we are talking about the critical importance of systemic fiscal policy measures, and not emergency decisions, which consisted exclusively of taxing banks’ income) and about work in the internal debt market.” – Pyshny clarified.
EADaily It should be noted that the authorities in kyiv and representatives of the IMF managed to agree on the allocation of a $1.1 billion tranche to Ukraine from the total assistance program of $15.6 billion. The IMF took this step after bringing the Ukrainian economy to certain efficiency criteria by the summer of 2024.
