Finance and credit

 

The section reveals Ukraine’s budget execution, banking statistics, basic financial indicators for economic activities of enterprises and organisations.

Budget is a plan for formation and uses of financial resources to ensure tasks and functions to be performed by public authorities, the Autonomous Republic of Crimeaʼs authorities and local authorities during the budget period.

Ukraine budget system is a summation of the state budget and local budgets which takes into account the economic relations, the state and administrative and territorial division and is regulated by rules of law.

Local budgets are the budget of the Autonomous Republic of Crimea, regional, district budgets and budgets of local authorities. The budgets of local authorities are the budgets of territorial communities of villages, their associations, townships, towns (including the districts in the cities).

Ukraine consolidated budget includes indicators of the State budget of Ukraine, consolidated budget of the Autonomous Republic of Crimea and consolidated budgets of regions, cities of Kyiv and Sevastopol.

Budget income are tax, non-tax and other revenues on non-repayable terms whose deductions are envisaged by the Ukraine legislation (including transfers, payment for provision of administrative services, own revenues of the budgetary establishments).

Budget expenditure are funds aimed at implementing the programs and plans envisaged by the relevant budget. Budget expenditure does not include: debt services, provision of credits from the budget, allocation of the budget funds on deposits, purchase of securities, return of over paid-in taxes and dues to the budget (compulsory payments) and other budget income, their budgetary refunds.

Crediting the budget are transactions with provision of funds from the budget on condition of repayment, payment and maturity whereupon obligations towers the budget arise (provision of credits from the budget) and transactions with the return of such funds toward the budget (return of credits towers the budget). Credits from the budget include loans and financial assistance from the budget on a repayable basis.

Budget deficit is an excess of the budget expenditure over its income (taking into account the difference between the provision of credits from the budget and return of credits toward the budget).

Budget proficit is an excess of budget income over its expenditure (taking into account the difference between return of credits toward the budget and provision of credits from the budget).

Bank loans (bank requirements) are extended by banks and special lending institutions to operating businesses and other borrowers in monetary form.

Deposits – claims on the other deposit-taking corporations that are represented by evidence of deposit.

Official exchange rate of hryvnia against foreign currencies is the rate of the national monetary unit, the hryvnia, officially set by the National Bank of Ukraine versus every of foreign currencies. It’s determined according to the rate defined as average weighted exchange rate of seller and customer at the interbank foreign exchange market of Ukraine.

Assets are resources controled by an enterprise as a result of the past events and whose uses, as expected, will lead to the acquisition of economic benefits in the future.

Liabilities are arrears of an enterprise that  resulted  from  the  past events and whose debt service in the future will lead to decrease in enterprise’s resources that embody the economic benefits.

Own capital is a part in the enterprise’s assets which is left after the deductions for its liabilities.

Financial outcome before taxation (profits, losses) is a algebraic sum of profits (losses) that an enterprise received from operating activity, financial and other income (profit), financial and other expenditure (losses).

Rate profitability of operating activity is a ratio of financial outcome stemming from operating activity to expenditure on operating activity of the enterprises.

Financial outcome from operating activity (profits, losses) is algebraic sum of gross profit (loss), other operating income, administrative expenditures, expenditure on sales and other operating expenditures.

Operating activity is the main activity of an enterprise as well as other types of activities which are neither investment or financial.