Sec. 102. Economic reform in Ukraine
273 words·~1 min read·
/bill/113/hr/4278/eh/section-102·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Congress finds the following: The Ukrainian economy is weak and vulnerable, as evidenced by short-term debt interest rates as high as 15 percent, a high proportion of foreign exchange-denominated government debt that will mature in 2014 and 2015, a banking sector with non-performing loans at the high level of 14 percent, a financing gap which the Government of Ukraine has estimated will amount to $35 billion over the next two years, and a large underground economy. This economic condition undermines democratic prospects in Ukraine.
Years of poor economic management and performance have undermined and may continue to undermine political stability and unity within Ukraine. On March 6, 2014, the House of Representatives passed H.R. 4152, to redirect previously appropriated funds to cover the cost of roughly $1 billion in loan guarantees for Ukraine. It shall be the policy of the United States to work with other countries and international institutions to stabilize the Ukrainian economy, while promoting critically needed structural economic reforms in Ukraine, including— cutting the massive natural gas subsidies that have led to market inefficiencies; reducing the bloated public sector; maintaining a market-determined exchange rate; strengthening the vulnerable banking sector; promoting a robust, independent, and impartial judiciary, due process, and uniform application of law; and reducing corruption, such as by supporting reform efforts of the Government of Ukraine to pass legislation related to greater accountability for government officials, greater protection of private property, and increased transparency of government funds.
It is the sense of Congress that loan guarantees provided by the United States for Ukraine should be used to promote government, banking and energy sector reform, and anti-corruption efforts in Ukraine.