KIEV (Pakistan Point News / Sputnik - 23rd November, 2018) Ukrainian ex-Prime Minister Yulia Tymoshenko, who heads the pro-European party Batkivshchyna (Fatherland), has promised lower gas prices for Ukrainians by half in the event of her victory in next year's presidential election.
"Reduction of gas prices is not populism, but simply a restoration of justice ... I firmly guarantee that the price for Ukrainian gas for people in the first weeks after the inauguration of the new president will be reduced twofold," Tymoshenko said presenting a new doctrine of her party.
Tymoshenko said citing financial reports of UkrGasVydobuvannya gas production company that the cost of Ukrainian gas, including taxes, transportation and a 30-percent profit, amounts to about $75.5 per 1,000 cubic meters. According to the politician, profitability at the current price of $307.9 per 1,000 cubic meters is 400 percent.
On October 19, Ukrainian government approved the increase of gas prices for households by 23.5 percent starting November 1 in line with the requirements of the International Monetary Fund (IMF) under its financial support scheme. The new price is 8,500 hryvnias (over $300) per cubic meter.
Kiev has been receiving loans as part of the IMF's $17.5 billion Extended Fund Facility (EFF) assistance package. The loans, which are part of a four-year program aimed at reviving the Ukrainian economy, were approved by the IMF back in 2015 and are conditioned on Kiev implementing reforms aimed at improving the economy and the rule of law in the country.