Week’s balance: Cabinet vows to create jobs, IMF promises decision soon, and hryvnia goes through storm
The National Bank went on the interbank market several times, selling foreign currency to support the falling hryvnia; the Government says it is up to create new jobs to fight unemployment and poverty; and the International Monetary Fund has promised to hold a meeting in the coming weeks on the allocation of another bailout tranche - these are the major economic events of the past week.
Western incentives for Ukrainian growth
While foreign investors are looking at Ukraine, in no hurry to invest in large projects, loans from international financial institutions and the G7 governments remain the only incentive for the development of the national economy. Terms of allocation of loans are becoming tougher, requiring from Kyiv some fundamental change.
Privatization failure of 2016. Is Ukraine ready to draw conclusions?
Grand privatization of 2016 was yet another failure. There were several reasons for such a shameful result- the lack of interest of foreign investors due to the ongoing Russian aggression, as well as macroeconomic instability. However, Ukrainian officials have not "climbed out of their way" to effectively sell state assets.
Year of Ukrainian arms: smashing "Thunder" and "Missile Shield"
Ukraine continues to strengthen its military capabilities. In 2016 the national military industry showcased a number of new projects, while the country’s defense sector, for the fourth consecutive year, received record funding.
Energy sector to be plugged in reform
Russia’s ongoing military aggression against Ukraine has forced the authorities to launch reforms in one of the country’s strategic sectors – power engineering. Thanks to the measures taken, national energetics has become more independent and stable than it was two years ago, although there is yet plenty to be done.