Will Ukraine commit economic suicide?

Friday, October 10th 2014 - 09:12 UTC

Full article 2 comments

Ukraine is on the brink of committing economic suicide after imposing a crippling 55% tax on private gas producers, while parliament prepares to vote on next year's budget, which aims for a continuation of the same. Read full article

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Briton
Life between the frying pan and the fire aint goner get any colder
anytime soon.
Oct 10th, 2014 - 12:35 pm - Link - Report abuse 0
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Kirk Nelson
I do not see any good transformation in benefit of Ukraine's economy if Poroshenko runs against private gas drillers insvestors.
I can see the need of increase cash flow in the country, especially generated from foreign investors, but this new tax code temporarily will generate some cash until investors soon will reduce substantially their capital expenditure projects and eventually move away from the country. In addition, if the country prints money, inflation will scale and indeed the country will be in default or bankruptcy. Why not consider Dollarize its currency?
Poroshenko new running economic program is bad news. Ukraine will increase its gas dependency from Russia.
Until this article, I was under the impression that was exactly what Poroshenko did not want to happen .
Hey, the winter season is in the corner.
Currently, the 40 million and plus people can not afford to comsume basic food needs, while on the other hand, unemployment keeps its way up.
I hope Poroshenko's Government and team members will realize that their effords is to serve its people, instead of deeply hurt them.
The war itself is not enough?

Kirk Nelson,
New York, USA
Oct 13th, 2014 - 07:30 pm - Link - Report abuse 0
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