N. Kruglov: "Last year we "ate" considerable part of the budget-2009"

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On the eve of New year journalists I found out from the People's Deputy, the head of the regional organization of Party of Regions Nikolay Kruglov his views and estimates of results of 2008 in Nikolaevsk the region and the country.

If to trust data of local statisticians, by results of 11-ти months of the expiring year the situation in the region is far from the crisis. While real recession in construction branch of the region - for 12%, production of food - for 8% and in mechanical engineering - for 0,6% is recorded. Other sectors of local economy had for December 1 different, but a gain of outputs. In agrarian and industrial complex it is realized production twice bigger in comparison with the past with 2007, in shipbuilding - for 15%, etc. that gave the general growth of outputs by 0,7%. Regional officials speak about an overfulfillment of revenues of the budget, almost absolute implementation of local programs at the expense of the state subventions. The local employment service and local office of the Pension fund didn't give in November especially disturbing signals.

  • In - the first, from statistics to anybody it is cold, hot, in - the second, show me the official who says that in his department something is bad.

The situation in area can't be considered separately from a situation in the country. At least because the regional budget a minimum for 50% depends on the state. These are subventions, subsidies, grants directly from the state budget. And if falling of industrial production in Ukraine "read off scale" for 60% if in December governmental financing of 150 programs stopped, nearly 90 programs weren't financed in November, and in area it is difficult to call a situation successful. These are the budgetary programs which concern physicians, teachers, acquisition of a rolling stock for passenger transport, the medical equipment, insulin purchases, etc.

Look at poll data in Nikolaev which spent "Nawal - the expert" in the end of the year. From 15 to 20 percent of nikolayevets already faced a problem of nonpayment of a salary, impossibility to extinguish the bank credit, with the prevention of the forthcoming reduction.

As for an employment service, nobody knows, to how many people here can offer work, on what specialties as them will retrain. It isn't clear that to consider as public works, how many for them it is allocated money.

I remember how our area endured crisis 90-x, and I treat this question much more seriously, than those officials who came now and don't know that this such and as to fight against it. Problems of people aren't solved by vigorous official reports.

You address in management of the finance, what budget was received by area for 2009. And it such is that we won't be able to finance the major programs at the level of 2008.

But the state budget the next year looks, according to the majority and politicians and experts, sverkhoptimistichno: gross domestic product gain, inflation at the level of 9,5% of percent …

is planned scanty, but
  • And at the expense of what the government is going to fill up revenues? The memorandum with sellers of fuels and lubricants about reduction of prices of gasoline is signed by one hand, and another - raises an excise on is combustible - lubricants.

Transport collecting is established depending on car engine displacement, and the government expects in addition to receive in the budget of 1,6 billion UAH. It turns out that at the frozen salary, unemployment growth we are going to fight against crisis at the expense of citizens.

We have, probably, the only government in the world which is going to increase purchasing power of people due to increase of tax pressure that at local level that on the state.

And as the government is going to protect small and medium business, tells a ban to the enterprises to which sold goods and small businessmen rendered services, to refer payment of these services on expenses. As a result, the enterprises won't cooperate with small business.

And as for "progress" of this year, take an interest at businessmen as them asked and forced to pay taxes for three months in advance. And it occurred not only in the last three months of year. Here thus the budget of this year was carried out. And it means that we "ate" not only 2008, but also considerable part of the budget of next year. How we will fill the budget of 2009, for account 2010-го? So it isn't present.

The enterprises, paying taxes beforehand, lost current assets. And crediting of economy is absent in general.40 billion UAH gave to banks for renewal of crediting of real economy, but after all banks hold this money.

You work in BP committee which is engaged in a tax policy and bank activity in the country. What, in your opinion, a role of banks in the burst crisis and as far as their speculative interest in unknown rate fluctuations of hryvnia relatively the main currencies here is looked through?

  • The speculative element in such cases exists always. But today it is necessary to speak about other. Than the National Bank and the government were engaged? After all they had to control credit policy of banks, the nobility who takes the credits, under as on what purposes. We destroyed the economy, crediting import. Import in 10 months of year increased for 400%. And delivered to the country waste - cartilages, tails or "Bush's legs".

In the country the customs legislation, and Khoroshkovsky's telegrams (the head of customs service of Ukraine - a bus) works not. As a result we have 16 billion dollars of negative balance. Why nobody bears responsibility for it?

The power and National Bank were eliminated from control of the balance of payments. And that we have for today - 106 billion dollars of an external debt. It is more, than all national gross product. The most indicative example I began to buy impossibility of NAK Neftegaz in the country of 1,3 billion dollars for calculations with Gazprom. What already to tell about all the others which try to buy dollars in Ukraine to extinguish earlier taken credits.

On total a press - conference of the governor A. Garkusha knew that 60% of revenues of the regional budget are filled by local customs service.

- I now won't stop in details at customs work, but I will tell that customs duties were artificially overestimated for the sake of budget filling. And the end user covered this overestimated collecting from the pocket. And who will compensate the VAT - tax specialists? Limit on VAT return by it set less, than last year.

You one of authors of the law on increase of customs duties for import for 13%. They after all too will lay down on shoulders of the end user …

  • These we put 13% for group of goods of noncritical import. Critical import - gas, the oil, some types of coals, etc. - this law doesn't concern. And here if there is a wish to deliver to the country, that she makes and can satisfy requirements of domestic market, if you please - pay.Otherwise, how to keep our agrarian sector, animal husbandry. Or domestic automotive industry.

Only the lazy didn't criticize the budget of 2009, including the president, the speaker of parliament, People's Deputies practically all fractions. And still it, with attempts and critical quantity of voices, 4 from which "gave" нардепы - regionals, nevertheless it was accepted.

  • As for 4-x voices from our fraction, here, except for T. Chernovol, without the knowledge of these deputies, used their cards.

If to speak about the budget for which voted, all from it disowned as could. Even Litvin said that it is the government budget, and it takes for it responsibility. But responsibility should be taken all who it voted, including to Litvin as to the actual leader of the present coalition. Because fought not that in the country would become better, and for places of representatives of "our Ukraine" in the government. There was an improbable bargaining: "Communists, vote for the budget, and we will add 50 million UAH on food in imprisonment places". Parliamentary committees in general excluded from the budgetary process. Without opinion of committees were brought in a hall and laws on the additional taxation.

And how so it happened, what PR and KPU fractions didn't support convention denunciation with Cyprus, what according to authors of this legislative initiative, had to block outflow of the capitals from Ukraine in the offshore of this small island state?

  • Because cancellation of this agreement which was signed at the time of the Union, solved nothing. The capitals in the form of dividends or the royalty earned abroad, don't come back to the country not because there is an agreement with Cyprus but because they when importing to Ukraine are assessed with a tax in 25%. In other countries it is at most 5%. And the offshore is not only in Cyprus. Therefore we again submitted the bill which creates real conditions for a refund from - for a boundary.

All countries create such conditions for capital return. One carry out amnesty of the capitals either without taxes or for 1%, others suggest to get the state bonds for a certain sum. And billion dollars come back to these countries. It just that currency which so doesn't suffice today to us in the conditions of crisis.

We will return to native Penates.You in interview and public statements said more than once that the Party of Regions has the biggest representation in local councils - regional, city and regional - and therefore bears responsibility for a situation in the region. What steps local deputies from PR in overcoming of the crisis phenomena are going to take. For example, the Nikolaev City Council not without participation of your fraction "cut" the solution on increase of a uniform tax which was proposed by the Executive Committee of the City Soviet of People's Deputies. Among anti-recessionary measures - decrease twice a rent for municipal property for small business, other manifestations of local "solidarizm" …

are possible also

- And the government increases at this time a payment for rent of state property and land tax by 5 times. And now local authorities will be compelled to count these indicators. Our deputies won't support any increase in local taxes and fees. If we speak about "solidarizm" in Yu. Tymoshenko's understanding when all around are guilty, and she - never, it doesn't suit us.

"Solidarizm" in our understanding is when in 1994-95 in fight against crisis in economy, a hyperinflation local councils and regional and regional administrations combined the efforts. We then through the budget resolved many issues. If our nuclear power plant owes the local budget, and the enterprises, collective farms, the budgetary sphere have to for the electric power, it was solved by clearings. Thanks to it we then survived, here it there was "solidarizm". This option could be used and now. But the same close collaboration of a depuy corps and executive power is for this purpose necessary. What do we see today? Chiefs of managements of the regional state administration persistently don't wish to visit meeting of the deputy commissions, they don't submit to solutions of a depuy corps. During the period when I headed YEAH, such it was difficult even to present: that the official appointed someone didn't listen to the deputies elected inhabitants of the region. As a result, three profile commissions of a regional council demand resignation of heads of three regional managements - educations, agriculture and municipal property. The first two feel with impunity because are members of the same party of the governor, the third simply refuses to give any information of the deputy commission on use of municipal property, saying that it is a trade secret. It turns out that the owner can't learn how his property is used.Unless it not absurdity?

Or recently in the Krivoozersky area brought gas heating for boarding school. So lit a torch and cut a ribbon twice with a break at an o'clock: once representatives of district administration, another - deputies of a regional council thanks to whom it was succeeded to solve this long-term problem. This normal phenomenon? So on places not to overcome crisis.


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