Prime Minister Denis Shmyhal of Ukraine has unveiled plans for the allocation of over 40 billion UAH from the budget to stimulate economic activity and bolster Ukrainian entrepreneurs this year.
Yulia Sviridenko, the Minister of Economy, further highlighted a sum of 500 million dollars earmarked from the World Bank.
Alona Lebedieva, proprietor of the Ukrainian diversified industrial-investment group of companies “Aurum Group,” reflecting on the government’s efforts, noted a discrepancy between government actions and publicised figures, citing the outstanding debt of 7 billion UAH owed to commercial banks under the Affordable Loans 5-7-9%’ program as an example.
Alona Lebedieva regularly presents Ukrainian interests in the European Parliament.
Ms. Lebedieva underscored the need for a coherent plan and coordination in governmental actions to address such challenges effectively.
“On one hand, the Ukrainian government demonstrates a clear understanding of the role of businesses in national development, seeking to provide support in challenging conditions.
“On the other hand, the state currently owes commercial banks 7 billion UAH in compensation under the ‘Affordable Loans 5-7-9%’ program. And this is just one example of the overall problem of our planning and coordination of government actions,” she said.
She continued,“The question remains open not only about debts and financing, but also about those figures that are made public, because it is currently unclear – will there be more money, as Shmyhal said, or less, as Svyridenko said?”
“With this terrible budget deficit, we all clearly understand that any funds to support business will come from international donors, but what is more impressive is the incoherence of actions and promises of government officials, not to mention the significant disparity in the declared aid.
“I never found a clear plan for this very aid in the original sources“
She emphasised that alongside financial aid, businesses require security guarantees to thrive, advocating for protection against arbitrary actions by law enforcement agencies.
She acknowledged the establishment of the Business Support Council by the President as a positive step toward addressing these concerns but highlights the historical lack of tangible change despite similar initiatives under past administrations.
The business ombudsman laments a presumption of guilt prevalent in Ukraine’s current climate, attributing business struggles with law enforcement to inadequate governmental management.
Ms. Lebedieva has warned against unchecked authority that can lead to the suppression of dissent, urging for reforms to protect businesses from baseless legal actions and sanctions.
Regarding international support, Lebedieva acknowledges the significance of military aid and support from G7 countries, particularly in maintaining sanctions against Russia.
She welcomed assurances from G7 nations to uphold sanctions until Russia compensates Ukraine for its losses, considering it a positive development.
However, she has raised concerns over potential limitations in aid, with indications that assistance may be restricted to the military domain rather than broader macro-financial support.
She has stressed the importance of comprehensive aid to address Ukraine’s multifaceted challenges effectively.
Lebedieva highlights recent security agreements signed between Ukraine, Germany, and France, underscoring their importance in enhancing regional stability.
Additionally, she noted the memorandum of cooperation between Ukraine and the German arms company Rheinmetall as a significant step forward.
Japan-Ukraine Conference for Promotion of Economic Growth and Reconstruction.
Turning to relations with Japan, Lebedieva acknowledges a new phase of development, marked by the signing of numerous cooperation agreements during the Conference on the Reconstruction of Ukraine in Tokyo on February 19th.
She emphasised Japan’s potential as one of the world’s largest economies and stresses the importance of nurturing trust and expanding ties with the Asian nation.
Prime Minister Kishida delivering a keynote speech.
“”The reconstruction of Ukraine will not be achieved overnight. The solidarity of the international community in this line of effort also needs to be strengthened.
“”We will work with our partners and international organisations, and closely coordinate with the G7 and other countries.
“We will make our measures and efforts closely in line with various developments in the international discussion, including an international Ukraine Recovery Conference to be hosted by Germany in coming June.
It is the very interest of Japan and the international community as a whole that, overcoming the scars of Russia’s aggression, Ukraine realises its reconstruction and regain its vitality. We sincerely ask for your cooperation of all the participants gathering here for today’s Conference.” Japanese Prime Minister Fumio Kishida.
Alona Lebedieva applauded Japan’s efforts to ease restrictions on business visits to Ukraine and hinted at potential revisions to tax legislation and financial support for reconstruction efforts.
She further underscored the mutual commitment between Japan and Ukraine to deepen their relationship but acknowledges the need for sustained efforts to fully realise this potential.
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Read also: The economic aspect of Ukraine’s integration into NATO – Alona Lebedieva on why Ukraine’s membership in the alliance will be beneficial for both Ukrainian and European entrepreneurs
“Personally, I am a firm believer that Ukraine’s place is in the EU and NATO. This is the path defended by the heroes of the Revolution of Dignity, and it is now enshrined in the Constitution of our country. And when we talk about NATO in the context of security guarantees, it is not only in the military sphere, but also in the economic sphere.”
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