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UNDERREPORTED

Ukraine parliament rejects parcel tax bill needed for IMF and EU aid

Ukraine's legislature voted down a proposal to tax low-value foreign parcels, jeopardising the release of promised IMF and EU funds.

On Tuesday, Ukraine's parliament did not achieve the 226 votes needed to pass a law imposing duties on foreign parcels valued below €150, a step required to access further IMF and EU financing. Prime Minister Sergii Koretskyi highlighted a $27 billion gap in defence funding and warned that unresolved reforms increase financial danger. The proposed levy, projected by the finance ministry to generate around 10 billion hryvnias annually, faces opposition from deputies concerned about higher consumer prices amid the war.

Danylo Hetmantsev, chair of the parliamentary finance committee, warned that the setback could forfeit about €4 billion in aid. The vote outcome leaves the next tranche of external support uncertain as an IMF monitoring mission conducts its review. Meanwhile, Russian attacks continued, marking the sixth consecutive day of strikes on Kyiv.

Why it matters

The failure delays critical foreign aid that Ukraine needs to fund its defence and stabilize its economy.

In this story

parcel taxIMF programmeEU fundingdefence deficitfinancial riskwar economylegislative vote
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