Ukraine

Business

Journal

19:33 PM Monday, July 24, 2017
Opinion
Wishful Thinking:  Groysman Wants 'Marshall Plan' for Ukraine
Timothy Ash
Donor interest is not there; pass reforms and get Western aid already promised
image/svg+xml Kyiv Lutsk Rivne Zhytomyr Lviv Ternopil Khmelnytskyi Uzhgorod Chernivtsi Vinnytsia Chernigiv Sumy Kharkiv Poltava Cherkasy Kirovohrad Lugansk Dnipropetrovsk Donetsk Zaporizhzhia Mykolaiv Odesa Kherson Simferopol Sevastopol Ivano- Frankivsk
Can Ukrainian politicians stop talking this bull?

It is never going to happen - there is just not the Western backing.

Ukraine has enough strengths of is own - clever people, fertile land, industrial base, potentially big domestic market, good location - that if it actually implemented key reforms it would do very well.

The key reform is anti corruption to create the right business environment for investment.

Talk of a new Marshall plan is just a distraction. The existing Western $25 billion support program is around 30% of GDP and more than enough. As reform implementation is running behind schedule, disbursements are being delayed. So just implement what was agreed and then private sector capital inflows should flow in.

The more important thing for the West now is to help Ukraine ensure security on its Eastern border - which would further assure foreign investors.

Timothy Ash is senior sovereign analyst for Blue Bay Asset Management in London.

Ukraine's Prime Minister Volodymyr speaks last month at the Rada (UNIAN Vladislav Musienko)


Groysman would like to have 'Marshall Plan' for Ukraine

KYIV. July 16 (Interfax) - Prime Minister Volodymyr Groysman said
that he supports the idea of a 'Marshall Plan' in order to speed up
Ukraine's development.

"It is a very good idea. We have worked on it as far back as under
Yatsenyuk's first government with our European partners, but it failed for
some reasons. But I believe that it is very acceptable. The European
People's Party named it among its program goals. I would like it to be
implemented," the Ukrainian head of government said on air of 112.Ukraine
television on Sunday commenting on the idea of a 'Marshall Plan' put
forward by international partners for Ukraine.

This primarily concerns the support to quicker Ukrainian development,
Groysman said.


Ukrainian PM Groysman says has no presidential ambitions

And another porky from Groysman. No one believes this, let alone President Poroshenko, hence the really poor current relationship between the two politicians which is stalling reform. Let's see if finally resolved in the autumn.

Unfortunately in Ukraine relations between the president and PM are all too frequently poor, a reflection of the constitutional mix which balances too much power between the presidency, executive and legislature.

Interestingly, the only decent relationship between President and PM was Yanukovych and Azarov. The latter was too old to be a threat and his lack of Ukrainian language skills did not help his popularity.


Ukrainian PM Groysman says has no presidential ambitions

KYIV. July 16 (Interfax) - Ukrainian Prime Minister Volodymyr
Groysman said that he does not plan to run for president of this country
at the next elections and does not see himself at this position.

"I have already said that I feel my effectiveness precisely in the
executive branch of power. Therefore, I have no such plans," the premier
said on air of 112.Ukraine television on Sunday, when asked whether he
plans to run for presidency at the next elections in 2019.

Groysman said that he had not viewed himself as Ukrainian president.


Slider: Ukraine's Prime Minister Volodymyr Groysman speaks Friday at the final Rada session for the summer with Rada Speaker Andriy Parubiy (UNIAN/Vladislav Musienko)

Posted July 17, 2017

All Comments (0)
No Comments
We recommend
IMF and EU should join hands and play tough – Ukra...
Diane Francis Jul 21, 2017
Political scientist says: take a deep breath and p...
The UBJ Jul 19, 2017
Donor interest is not there; pass reforms and get...
Timothy Ash Jul 17, 2017