The Ukrainian economy is being shaped in three dimensions: the wartime economy, the recovery economy and the economy of the future. This was stated by Prime Minister Denys Shmyhal in a statement at the Yalta European Strategy in Kyiv.
“The wartime economy is working. The recovery economy has been successfully launched and is gaining momentum. The economy of the future is still crystallizing, but we clearly envision what it should be and lay the appropriate foundation for it. All three economic dimensions now work synchronously and are closely intertwined,” the Head of Government emphasized.
The Prime Minister noted that the basis of the wartime economy was financial stability. Throughout 8.5 months of this year, Ukraine has received $30 billion from international partners. In addition, there are specific agreements on long-term financing with the IMF, the EU, Norway, Japan and other G7 countries. According to Denys Shmyhal, macro-financial assistance from partners makes it possible to spend domestic resources on the army.
“The recovery economy. The devastation caused by russia is currently estimated at $411 billion. We have to rebuild everything following the principle of build back better, implement large business projects and public-private partnership projects. And we are working on this, preparing our country for recovery,” the Prime Minister said.
The Head of Government announced that more than UAH 60 billion had been allocated by the state for rapid reconstruction, in particular for demining, rebuilding people’s homes, restoring and protecting critical infrastructure. However, he emphasized that russia must pay for the damage. To this end, Ukraine and international partners are preparing a special compensation mechanism that will provide the money needed for Ukraine’s recovery.
“The economy of the future is the third dimension we are working on. We need to promote economic changes, reforms, progress and our development today, and we understand what steps we need to take together with our partners to achieve this,” said Denys Shmyhal.
According to the Head of Government, the economy of the future will be shaped by such industries as the military-industrial complex, construction and infrastructure, agriculture, energy, IT and mechanical engineering.
The Prime Minister emphasized that building the economy of the future would take place within the framework of Ukraine’s transformation: “Ukraine is already changing today. Despite all the challenges and difficulties. We have systematized our major reforms, have clear roadmaps, transformation teams and a vision.” (Government portal/Business World Magazine)
