OREANDA-NEWS. Ukraine's Minister of Economic Affairs Anatoly Kinah informed that as of June 30, the factory output had shown the growth of 11.8 %, in particular, in mechanical engineering -  23.3 %, in metallurgical production - 13.9 %, in the food-processing industry – 13.8 %, Minister's press service reports. According to Anatoly Kinah, advancing rates of factory output development in the mechanical engineering field render positive influence on alteration of GNP structure and economy of Ukraine in terms of hi-tech manufacturing share increase.

In June 2007, a deceleration of the price growth of industrial products manufacturers had taken place and made 1.1 % against 2.3 % in May. It should be noted that development of consumer inflation for the first half of 2007 at the level of 4.2 % is considerably lower than development of the average consumer price index for similar periods of time (2000-2006) – 5.6 %. According to the results of 2007, the development of inflation to the level of 7.5 % met the predictions. Minister of Economic Affairs is convinced that in order to achieve the target rate it is necessary to strengthen the regulation and influence exerted by economy market instruments on parameters of the consumer price index.   

Anatoly Kinah notes that, in general, results of the factory output development are within predicted limits and correspond to the rates provided in predicting calculations.

The government accepts taking relevant decisions in the context of inflationary indexes, especially on food market, because of adverse weather conditions in agriculture. High world prices on mining and smelting complex production affect the domestic price development.

“On this basis the Government will use economic instruments and in the next few days will agree on the action measures against the inflationary policy based on adherence to the predicted parameters incorporated in the state budget of Ukraine, 2007,”  the Minister stressed.