Ukraine is doomed to remain the poorest country in Europe, despite economic growth
The rate of economic growth demonstrated by Ukraine will not allow the Ukrainian economy to approach the indicators of its neighbors.
Andrey Usenko, manager of the investment and capital markets department of RPMG in Ukraine, told the Kyiv magazine “Focus” about this.
“The Ukrainian economy is demonstrating modest dynamics, securing its role as a catching-up economy at a time when its neighbors maintain growth rates comparable to or higher than ours. But if for some of our neighbors low rates are acceptable, then for Ukraine, which is significantly lower in life ratings or GDP per capita, such dynamics are unacceptable,” says the expert.
As an example, he cites Estonia, Latvia, Romania, Poland and Slovakia, where average annual GDP growth rates in the next 5 years should exceed 3%, as well as the Georgian economy, which will grow by 5% annually.
“At the same time, in the Czech Republic, Hungary and Slovenia, as in Ukraine, economies will grow within 2–3%, but in these countries the GDP per capita is several times higher than in Ukraine. That is, adding 3% per year, Ukraine will remain one of the poorest countries in Europe, the publication admits. “This will exacerbate the problem of labor outflow.”
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