Automatically translated version. May contain inaccuracies compared to the original.
The company's owner, Maksym Shkil, said he learned about the funding stoppage without any prior notice.
Construction company "Avtostrada" is stopping work on all sites that the state was supposed to pay for. The reason is the Ministry of Finance's decision to freeze capital expenditure funding.
The company's owner, Maksym Shkil, reported the funding stoppage. According to him, the decision was made without any prior warning, discussion, or dialogue with businesses. He wrote about this on Facebook.
"We've reached the limit. Today the state, in one day, without warnings, any discussion or dialogue, stopped funding all capital expenditures," Shkil writes.
He noted that the consequences of such a decision will affect not only his company. "Wages for entire sectors of the economy, interest on loans, settlements with suppliers — these are certainly not the main concerns of deputies or the Ministry of Finance; they have their own business plan, and we are simply presented with a fait accompli," the businessman wrote.
Because of this, "Avtostrada" is forced to halt work on all sites, he said.
Because of delays in international financing, the government in early September put non-protected expenditures on pause. These include repairs, reconstruction, and construction. At that time the decision did not affect public-sector salaries, social benefits, and current transfers to local budgets. 10 September, Finance Minister Serhii Marchenko said that non-critical expenditures were moved to December and capital construction programs were suspended.
The problem is related to delays in external assistance. The government warned that without agreements with international partners, Ukraine could receive 29,5 billion dollars less in international financing. Back in 1 September, the prime minister announced a regime of strict spending cuts outside of defense, stressing that pensions and salaries must remain funded.
So the current halt of Avtostrada's work is a direct consequence of the same policy of restricting non-protected and capital expenditures that the government announced in early September.
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