China on the Dnieper: as COVID-19 reconfigures the global economy, here’s how Ukraine can take advantage of it
In response to CIPE’s initiative to expand its corrosive and constructive capital work in Ukraine, CIPE partner the Centre for Economic Strategy (CES) published a research article (in Russian) on the Ukrainian media outlet liga.net on July 15.
In “China on the Dnieper: as COVID-19 reconfigures the global economy, here’s how Ukraine can take advantage of it,” author Dmytro Goriunov, Senior Economist at CES, analyzes the disruption of global supply chains due to COVID-19, the risks of increased dependence on China, the benefits of Ukraine moving production closer to home, and the opportunity for Ukraine to become the workshop of the EU. The massive disruption on supply chains, a highly educated workforce, and existing cultural and economic ties to Europe make Ukraine an attractive destination for EU investment. With appropriate policies in place, Ukraine could seize the opportunity to be a player in the reconfiguration of supply chains around the world.
In his policy recommendations, Goriunov argues for reduced restrictions on foreign investors, lifting of foreign trade restrictions, and simplified and accelerated customs procedures to attract greater EU investment, increase Ukraine-EU trade, and build and sustain infrastructure that facilitates constructive capital.
CES is currently finalizing its analysis of Russia’s economic footprint in Ukraine, which will be published in September, through the project “Creating Enabling Environments for Constructive Capital.”