Ukraine passes IMF-linked tax law amid reform deadlock

Ukraine’s parliament has passed one of the tax laws requested by the International Monetary Fund, but other reforms have so far lacked sufficient support.

The measures are needed to unlock foreign financial assistance, which Kyiv urgently requires after missing several deadlines. The situation is further complicated by a blocked €90 billion package.

The approved law extends the military tax, introduced after Russia’s invasion, for three years after the end of the war. However, the opposition argues that the proceeds should be used exclusively for defence, rather than for what it calls government ‘populist’ spending.

At the same time, parliament is at odds with the government of prime minister Yulia Svyrydenko and president Volodymyr Zelenskyy, with some MPs criticising poor communication.

(reuters, mja)