Throughout 2019, the Ukrainian hryvnia has hit a record high. None of the experts, who gave forecasts of the hryvnia exchange rate for the last year, failed to anticipate in advance that the course will be strengthened so significantly. Neither business nor citizens were prepared for this situation and suffered losses. However, the state Read more about Strengthening the hryvnia: risks and opportunities[…]
Concessions legislation has existed in Ukraine since 1999. However, no infrastructure project in Ukraine has been implemented under concession. Among the main reasons are the complicated procedure of selection of concessionaires and concession terms, problems with determining concession payments and granting of land plots, too strict regulation of concession, which does not take into account Read more about New legislation for concessions[…]
The year 2019 has become a difficult one for the Ukrainian economy. However, it brought some pleasant surprises: – strengthening of the hryvnia against the dollar by 15%; – increase in GDP growth up to 4% – decrease in inflation to 5% Ukraine had the record grain harvest, the largest ever inflow of non-resident funds Read more about Challenges for the Ukrainian economy in 2020.[…]
The Ukrainian gas market has changed a lot in the last five years. First of all, due to the conflict with Gazprom and the fact that Naftogaz is developing gas purchase practices in the West. Consumption of industrial consumers has fallen sharply in recent years due to various reasons – the economic crisis and the Read more about The gas sector in Ukraine: problems and prospects[…]
In 2019, Ukraine pursues a rather active policy of attracting financial resources through the mechanism of government bonds. A significant portion of the bonds were bought by non-residents. For the first time in Ukraine, foreign investments in domestic government bonds (government bonds) exceeded UAH 100 billion (USD 4.06 billion). This policy made it possible to Read more about Ukraine’s debt policy in 2019: risks and shortcomings[…]
Land reform in Ukraine has already been lasting for 28 years. However, despite a number of completed measures (a huge area transferred to private ownership, unshared), the reform till recent times was far from being complete: the market of agricultural land does not exist, a significant portion of the rental market is “in the shadows”, Read more about Land reform in Ukraine: to be or not to be[…]
On September 10,2019, MPs voted in the first reading for the bills, which determine the rules for using cash registers (PPOs) by the business. These bills are aimed at combating tax evasion by large businesses using status of individual entrepreneurs (FOPs). These bills provoked heated discussions. While discussing the draft at the Rada meeting, MPs Read more about Fiscal innovations of the new government[…]
Ukraine’s GDP shows growth for the 14th consecutive quarter. GDP grew by 4.6% in the second quarter of 2019. President Zelensky has promised growth of 5-7% of GDP. Under favorable circumstances, Ukraine may well expect a 5% growth in 2019. However, this growth is unlikely to be sustainable. There are many risks and challenges for Read more about Prospects and Challenges of the Ukrainian Economy in the Second Half of 2019[…]
Starting from July 1, 2019, electricity market started to operate in Ukraine – electricity prices began to be determined on a market basis. However, today market participants and experts have different opinions about the readiness of the energy system. Similarly, the various implications of the launch of the market for consumers are also different. Read more about Launch of electricity market in Ukraine: opportunities and risks[…]
At the beginning of 2019, the Government decided to introduce a cash form of monetization of privileges on the eve of the elections. This innovation caused sharp controversy. Some experts believe that the introduction of cash monetization just before the election has signs of political bribery. The other part believes that this political decision Read more about Monetization of subsidies: political bribe or reform?[…]
“Democracy House ” thanks to support of the Representative Office of Friedrich Ebert Fund in Ukraine and Belarus, prepared the research “THE IMPACT OF THE EU-UKRAINE DEEP AND COMPREHENSIVE FREE TRADE AREA ON THE UKRAINIAN INDUSTRIAL SECTOR” Using vector autoregression models, we have analysed the impact of the aggregate rate of the EU import duty and Read more about THE IMPACT OF THE EU-UKRAINE DEEP AND COMPREHENSIVE FREE TRADE AREA ON THE UKRAINIAN INDUSTRIAL SECTOR[…]