Centre for Economic Strategy is a Ukrainian non-governmental research body which has been working on promoting sustainable and inclusive economic growth since 2015. The Centre independently analyzes the most important aspects of public policies and works to strengthen public support for reforms. We do not support any political parties or political leaders.
We are exploring and influencing government policies to help Ukraine achieve sustainable and inclusive economic growth.
We do this by combining research, practical advice and advocating change in institutions and the economic culture of the nation through social dialogue.
We would like to see the prosperity of Ukraine and the welfare of its citizens realized through sustained inclusive economic growth.
Our dream is to see Ukraine in five years as follows:
The effectiveness of governance reaches our western neighbours’ level in the World Governance Indicators index.
GDP grows by no less than 5% annually. GDP per capita reaches more than $5,000.
Stable macroeconomic environment. Inflation is stably below 6%, the hryvnia exchange rate is flexible.
Ukraine’s credit rating rises to the highest “speculative” level – BB+, the next step is “investment” rating.
The Ukrainian financial sector is integrated into pan-European markets. Ukrainians have access to financial services available to other Europeans.
Most state-owned enterprises and all state-owned banks are privatized. Those remaining in state ownership are managed in accordance with the best practices of corporate governance and recommendations of the Organization for Economic Cooperation and Development.
Moratorium on the sale of agricultural land is canceled, the land market is functioning. Among those who cultivate land, the share of owners grows, while the share of tenants decreases. Land use as collateral rises. As a result, investments increase, and the number of jobs in the countryside grows.
Transport and electricity markets are liberalized and demonopolized. The number of operators in each infrastructure market is more than five. Competitive principles of tariff formation in power engineering and transport are introduced. All private and commercial applications for connection to transport infrastructure and power grids are met on time. More than 90% of the population is covered by regular services of accessible passenger transportation.
In 2018-2020, we plan to focus on achieving the impact on state policy in four areas:
Macroeconomic stability is a necessary basis for both growth and resilience to threats. A state in which financial crises occur one after another will neither be able to catch up with the level of development of its neighbors, nor resist external enemies and withstand economic storms, nor ensure the welfare of its citizens. Priority should be given to budgetary sustainability, price stability and the resilience of the financial sector. It will create a secure foundation for macroeconomic growth drivers.
At the moment, the productivity of Ukrainians is lower than in the neighboring EU Member countries. In our opinion, first of all, we need investment in order to increase productivity in Ukraine. For an encouraging investment environment appropriate state business policy is needed. Ukraine’s integration into the world’s economy, in particular through infrastructure development, will create conditions for productivity increase. Since the state is a less efficient owner than a private one, privatization will also help to increase productivity and attract investment.
High premature mortality, short working life, lack of education and skills to meet the demands of the modern world hinder the well-being of Ukrainians. In terms of human capital development, Ukraine ranks 50th out of 157 countries in the world. CES priority in human capital is ensuring that the workforce meets the needs of the labor market through migration policy, increasing labor force participation and human capital through high-quality education and health care.