Thursday
18 march 2010
11:05
Too many conductors in Azarov’s orchestra, Viktor Pynzenyk says
There are too many conductors (one premier and 7 vice premiers) in the Azarov cabinet’s orchestra. It makes the accountability of cabinet members vague. Who, for example, is responsible for running the economy – the economy ministry or VP for economic issues? There can’t be true responsibility with two conductors, the ex-finance minister Viktor Pynzenyk told ZIK in an exclusive interview.Asked his expectations regarding the presidency of Viktor Yanukovych, Pynzenyk said, “I’m more pessimistic (although I would like to be mistaken) because I do not feel the main thing: whether there is a demand for the treatment Ukraine needs so badly. If there is no demand, the composition of the cabinet does not matter.”
Pynzenyk is unwilling to assess the cabinet line-up, saying the cabinet’s actions should be assessed. Still, Pynzenyk is skeptical the cabinet will make a coordinated team.
“My optimism is boosted by the recession itself. We know we can’t go on any longer without reforms. We’ve spent all our reserves. We can’t get any more credits to patch up the holes. Meanwhile, due to the lack of treatment, our maladies are coming into the open. If there is no treatment, this regime will have to step down,” Pynzenyk said.
The hrvnia devaluation is having a healing effect on the economy, stimulating exports and strengthening the positions of domestic producers as imported goods went up in price significantly more than home-made goods. In 2009, exports dropped by US$29 bln while imports by US$40 bln.
The declarations to provide tax breaks emanating from the regime have caused great concerns, Pynzenyk went on. “It is clear who will get the tax breaks by using the so-called free zones. Given such discriminatory attitude, no major increase in investment will happen,” the ex-minister said.
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Ukraine’s recession’s main lesson: Beware of crowd-pleasing politicians, says Viktor Pynzenyk
zmolo.com
