IMF bailout may strike Ukrainian economy
Execution of the requirements of the International Monetary Fund in Ukraine may cause declining of both consumption level and investment in production, which will adversely affect the growth rates of the economy, informed the report of the World Bank for Ukraine.
According to experts of the World Bank, in 2014 the level of consumption in Ukraine may drop by 8%, while the decline of investments in production will not be significant, and transition to the floating exchange rate will assist to bring down the gap of current trading operations.
The expected small-scale growth of economy of the major trading partners will lead to reduction of the request for exports of Ukrainian commodities and services, informed the Bank.
At the same time, the current resumption of cooperation with the IMF and other international partners can increase confidence of investors to Ukraine, and reduce costs for foreign financing, which should lead to stabilization of the reserves of the National Bank of Ukraine.
The World Bank forecasted declining of the economy of Ukraine in 2014 by 3%, the inflation - at 15%. At the same time, the observed worsening in the country's economy started several years ago, long before the current political crisis.
You should be authorized to post comment
Ukraine: in 2014/15 MY domestic consumption of grains to fall - APK-Inform
October 24, 11:40
Syngenta is the exclusive sponsor of the conference "Fat-and-Oil Industry – 2014”
October 24, 11:20
In 2015 Ukraine to lose 50-60 mln USD due to the ban on imports of plant growing products to Russia – I.Shvaika
October 23, 18:00
As of October 23, Ukraine harvested over 52.7 mln tonnes of grains - Ministry of Agrarian Policy
October 23, 17:30
Market of high-oleic sunflower seed in Russia and Ukraine – new study of APK-Inform
October 23, 14:00
Ukraine: Ministry of Agrarian Policy forecasts overachievement of the plan for winter wheat planting
October 23, 11:00