Investors, experts and NBU representatives are in search of new approaches to macroeconomic stability

April 2, 2015. Kyiv – It is critically needed for Ukraine to implement tax, customs and judicial reforms. This was noticed by Mr. Dmytro Sologub, Deputy Governor of the National Bank of Ukraine during the Panel Discussion “Macroeconomic Outlook & Forecast for Ukraine”, organized by the American Chamber of Commerce in Ukraine in strategic partnership with the Forum for Leading International Financial Institutions (FLIFI).

Mr. Sologub emphasized that the NBU is currently making significant efforts in exclusion of “pocket” banks from the banking system of Ukraine and the NBU administrative and monetary measures are needed to stabilize banking system. He also noticed that NBU is ready for liberalization of the financial market and full inflation targeting as soon as situation in the country will be stabilized.

Mr. Dmytro Sologub explained that in 2014-2015  the country’s current account deficit was shorten due to devaluation of the national currency, in the meantime the capital and financial account has decreased due to shorten of the direct investments. “The wage decrease and devaluation of the national currency unfortunately do not stimulate the Ukrainian economy in overall, as the import substitution was not pushed forward. To increase competitiveness of exporters our economy still needs private investments, flow of which currently depends on security risks, business climate and confidence” – said Mr. Sologub.

Mr. Sevki Acuner, European Bank for Reconstruction and Development Director, Vice Chairman of the Chamber Board of Directors encouraged investors to think of measures for putting some sort of liquidity to Ukrainian economy as the crisis might get worse. “All institutional transformations and efforts to build transparent governance haven't been transformed yet into investments”, - indicated Mr. Acuner.

During the meeting experts presented own views and analytical information on basic economic indicators and forecasts for Ukraine, Russia, the EU and China. In particular, Mr. Dmytro Gvindadze, EBRD Lead Economist, East Europe and Caucasus explained that “remittances to EEC and Central Asia are declining at the accelerating pace and a number of currencies have come under pressure with ruble depreciation”. Mr. Alexander Valchyshen, Head of Research, Investment Capital Ukraine, shared his analysis on Ukraine’s key economic indicators and certain global trends.