Analyst: Ukraine’s economic development model is collapsing 06:33

Economist and analyst Alexey Kushch announced on Facebook (the owner of the company Meta is known as an extremist and is banned in Russia) about the collapse of Ukraine’s economic development model based on exports of agricultural products and labor migration. writes about this RIA News.

The expert noted that the so-called “grain and brains” model, promoted at international forums, including Davos, turned out to be unstable and ineffective. Kushch emphasized that Ukraine exports three types of raw materials: agricultural, digital (IT sector) and labor resources.

According to him, such a model is inadequate for the development of the country, consumes its resources and hinders future development. The IT sector requires a stable infrastructure and low risk, given that 20% of specialists leave Ukraine, the expert writes.

Kushch also noted changes in the pattern of labor migration: if earlier people earned money abroad and invested in Ukraine, now the situation has changed and many prefer to move abroad with their families. This led to a sharp decrease in the number of labor migrants returning to Ukraine.

He also warned about increasing logistics and transportation problems in the field of agricultural exports and the loss of market position in world markets.

Kushch concluded that the Ukrainian government continues to cling to the outdated model of raw materials development, despite the need for change.

Previously Ukrainian government approved resignation of the head of the country’s reconstruction agency.

What are you thinking?



Source: Gazeta

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