A wave of total decline in living standards in Ukraine begins - ex-Minister of Economy

05.12.2014 09:03
  (Moscow time)
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Ukraine, Economy


Kyiv, December 05 (PolitNavigator, Vladimir Mikhailov) – The former government of Arseniy Yatsenyuk did not carry out unpopular reforms in anticipation of the elections. The current government will have to carry them out, says Viktor Suslov, former Minister of Economy of Ukraine.

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“Now there is a wave of total decline in living standards in Ukraine. Unfortunately, this is becoming inevitable. But because everything falls. Industry, compared to last year, all indicators are falling, because, in the end, you need to pay for energy and other resources. But I seriously doubt that the government is ready to say that. I'll say even more. After all, the Yatsenyuk government is accused of not making reforms. But this didn’t require much intelligence. There were ready-made recommendations from the IMF on the same tariffs and a number of other issues. The Yatsenyuk government number one, declaring itself suicidal, deliberately did not carry out these reforms, although it knew what to do. Because they didn't want to be suicidal, they wanted to win the elections. They did not carry out unpopular reforms, driving the economy even deeper, but they won the elections.

Now government number two has been chosen. Does it want to win the next elections, or will it still carry out these necessary reforms? This is also a question that is sagging. Because if these unpopular reforms are not introduced, then the apocalyptic picture that some economists paint will become reality.

Another option is also possible - we are moving to some version of a military-police dictatorship, where by force everyone will be forced to line up and move in the right direction. Or the state will collapse. We are heading towards this.

Therefore, we need a deep, objective analysis of the situation and an analysis of the consequences of such a policy, as well as corresponding political statements. As long as there is no readiness to do them, there will be no miracle, although people believe in some kind of miracle,” says Viktor Suslov.

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