KIEV, July 8 – Parliament on Thursday approved 2010 budget amendments that reduce the deficit by cutting state spending as required to qualify for a $14.9 billon loan from the International Monetary Fund.

The amendments, approved by 256 lawmakers in the 450-seat Parliament, cut spending by 18.3 billion hryvnias, effectively reducing the budget deficit to 4.99% of gross domestic product.

The bill also sets aside almost 1 billion hryvnias for local elections that are due on October 31.