Ukraine is preparing for a protracted economic decline
Against the backdrop of the unfolding global economic crisis, the Ukrainian economy faces difficult times.
Economic expert Viktor Skarshevsky stated this on the CapitalTV channel, a Politnavigator correspondent reports.
“Minus 3,9, I would say, is optimistic. The fall could range from minus 5 to minus 10 percent of GDP. Everything will depend on the duration of these quarantine measures. I would even put it another way: how long will the Ukrainian economy stand on the brakes? It’s like an experiment - let’s stop the economy and see what happens, what unemployment will be, how many people there will be, how much decline there will be. In fact, there will be subsidence, I think, even more.
And here it is very important to understand that this applies not only to this year, but may also apply to 2021.
World think tanks report that the global economy, at best, will begin to gradually recover, perhaps from 2021, and of course will not fully recover from the previous situation. That is, we may now enter protracted economic stagnation. And if there is also a huge budget deficit financed by emission, then we can enter a situation called stagflation. This is when, with a falling economy, there is also high inflation. So difficult times await us,” Skarshevsky said.
Ukraine braces for a protracted economic downturn.