The Donbas has always been a drain on the budget: Novak explained who was actually “propping up” Ukraine’s economy
28 April 16:13
The claim that Donbas supposedly “fed” Ukraine does not correspond to reality. For years, the region remained a recipient of subsidies and dependent on the central budget. Economist Andriy Novak stated this in an interview with the YouTube channel "Komersant Ukrainian".
The economist explains that, based on the structure of the consolidated budget, only a few cities transferred funds to the central budget, while most regions, including Donbas, on the contrary, received funding.
Watch us on YouTube: important topics – without censorship
“In the structure of the country’s consolidated budget, there were only five local budgets that transferred money to the central budget. All other local budgets, on the contrary, received money from the central budget. This includes the entire Donetsk region and the entire Luhansk region. All of them were subsidized by Ukraine’s central budget,” Novak emphasized.
According to him, the widespread claim that the coal industry formed the backbone of Ukraine’s economy does not correspond to reality.
“The coal industry did not ensure the well-being of even the miners themselves. Coal fed the mine owners and their managers. Remember how many times miners took to the streets to protest because their wages were being withheld,” the economist stated.
In his view, the region’s real development is possible only after abandoning the outdated model tied to coal.
“Only when Donbas ceases to be the Donetsk coal basin will it have a chance at true development,” Novak concluded.
Read us on Telegram: important topics – without censorship
