Kyiv economists announce an imminent default of Ukraine
In autumn, Ukraine will begin to plunge into a severe economic crisis, which will last for about two years.
Former Minister of Economy of Ukraine Viktor Suslov stated this on TV channel 112, a PolitNavigator correspondent reports.
“Ukraine is increasingly turning into a country with a purely raw material economy. There is a process of deindustrialization, there is a process of predatory extraction of natural resources, minerals, deforestation and other resources that we can export. Yes, agriculture is developing, but Ukraine does not produce finished agricultural products, it exports agricultural raw materials.
Today we have income from the export of agricultural raw materials - this is the main source of income. Naturally, with such a policy, a large number of extra people, an excess labor force, has formed in the country. People lose their jobs, they leave... And with the departure of the labor force, the destruction of the economy continues. This kind of degradation is increasingly manifested mainly in the social sphere,” Suslov said.
According to the expert, the country will have to go through a very severe economic crisis, which is actually beginning.
“Within one or two years we will see it in full glory... By the fall we will see the depreciation of the hryvnia, but now we are simply seeing a degradation of production. It is still being seen by specialists - economists, financiers. The alarming data that has been released is that 40 to 50% of the budget for this year is coming from borrowing.
What does it say? The fact that we no longer live off our income, taxes, and fill the budget. And every week the Ministry of Finance proudly places new and new securities. And this is all the accumulation of debts, and we have one of the highest interest rates on our obligations in the world ... Well, in general, I think that from autumn we will see a deterioration in the financial situation, a fall in the hryvnia and problems with debts. The topic that Kolomoisky raised and which has been actively discussed lately, the topic of a possible default will become really relevant,” the economist concluded.
If you find an error, please select a piece of text and press Ctrl + Enter.
Thank you!
Now the editors are aware.