IMF recommends Ukraine raise VAT, tackle economic shadowing by 2026

Forbes Ukraine reported the information.

The meetings took place in the U.S. at the end of April.

According to Forbes, key proposals included raising the VAT rate, implementing a progressive personal income tax scale, and strengthening the economy's formalization.

Additionally, the parties discussed the possibility of fully confiscating frozen Russian assets for Ukraine's budgetary needs.

• On May 24, Ukraine said it couldn’t reach a deal with holders of its $2.6 billion GDP warrants, putting its debt restructuring plans in jeopardy ahead of a key payment deadline. The Finance Ministry said it’s exploring all options and will keep negotiating after this week’s talks with investors in Washington ended without progress.