Basic exchange rate in draft 2016 national budget is UAH 24/$1 with inflation of 12% - Yatseniuk

The government's draft 2016 national budget is based on the forecast hryvnia exchange rate to the U.S. dollar of UAH 24/$1 and inflation of 12%, Ukrainian Prime Minister Arseniy Yatseniuk has said.

"The basic exchange rate is UAH 24/$1. We project that next year inflation will be 12%," he said, opening a cabinet meeting in Kyiv on Wednesday.

The figures coincide with the macroeconomic forecast earlier published by the Finance Ministry used to draw up the draft national budget for 2016: average exchange rate – UAH 24.1/$1, inflation – 12%, real GDP growth -2% and nominal GDP growth to UAH 2.262 trillion.

Yatseniuk also said that the government's draft budget includes the increase in revenue by the inflation figure – 12%.

"We would not cut social expenses… Social standards in 2016 are increased by 12%, according to the government's draft," the prime minister said.

As reported, revenue of the 2016 national budget will be increased by 15.7% compared to the 2015 national budget, to UAH 5998.21 billion, while expenses will be increased by 15.8%, to UAH 673.97 billion.