“Professionals” in government just zashugannyh Board our business

"Профессионалы" во власти просто зашугали в доску наш бизнес

Why businessmen prefer “Golden mattress” instead of investing? Because “professionals” in government just zashugannyh our Board business. For example, it is increasingly restructured, to the great shame, therefore, that offshore structures are created not so much for tax evasion, but with the purpose of protecting assets. And no one still does not know when our right will be such that the business was interested to develop it in Ukraine.

And this, in turn, should mean ensuring the reliable protection of assets from raider attacks, transparent and equal for all tax legislation, finally, to the state, fulfilling the legal norms very clearly fulfil their requirements. But until then, and so almost everyone was sitting on shemittah and don’t want to create a public joint stock company, preferring to stay in the “shadows.” Plus, incomes are drastically reduced, contributing to the collapse of demand, and public debt continues to grow – it also creates powerful pressure on the government. And tellingly, incomes fall, and the amount of money needed to start a business, grow.

News: As Ukraine out of the crisis: to Declare a default and to entice the Chinese

In this difficult socio-economic situation of the government and MPs have to think of something to fit the expectations of the Maidan and business. But three years have passed, and the government can not change its economic policy and to meet the needs of society. However, in the beginning of 2014 the new government even turned to academic economists and analysts, when one group of experts has prepared a Strategy for 2020 and the other practical recommendations of scientists of the NAS of Ukraine. But at least one of the scheduled 62 national programmes fully implemented? Of course not. And this is logical, because a populist government think only about today, not about long-term economic development of the country.

“Loot is fine”, with this statement is also nothing special happened after Maidan. But further belt-tightening will create economic and political tensions that could lead to the collapse of the state. Savvy experts and entrepreneurs do not get tired to remind you that a recession is the wrong time for freezing of salaries, pensions and cuts in government spending. At worst, the authorities decided on the move only when the private sector economy will return to sustainable growth, as long as we have and does not smell.

However, our political leaders and Ministers like this and not hear. And we still do not hear from the acting Prime Minister for clarification of how the Cabinet is going to hold at the same time strict budgetary discipline and the creation of new jobs in terms of the ATO and the blockade?! By the way, the IMF postponed the consideration of the allocation of Ukraine the next tranche of 1 billion dollars. in connection with the blockade of Donbass, than March 19, the Finance Ministry said. Judge for yourself, not just mere theory, but current practice shows that combining such things impossible. So why all this will lead us neither the presidential Administration nor the Cabinet of Ministers so we do not explained. Well, have to wait for practical steps from the government and have them to judge the course of governmental debate.

News: Ukraine begins to present a serious political crisis

Interestingly, and how many months it will continue the current economic course? Of course, these days it is easy to prove that there is an alternative this is still a valid economic model. And as a result of the removal of the oligarchs from the state administration, Ukraine’s economy will not collapse, but rather a quick pace to develop, but with different goals and achievement of other socio-economic outcomes (rather than deplorable those who now have a place to be). However, Pro-government experts and grant-stubbornly continue to argue that there is no alternative and only they are right. Therefore, in their opinion, just as are today the Cabinet of Ministers and the Verkhovna Rada, it is possible to live in our poor world.

I think now very few people in society agrees with it, so the citizens themselves are beginning to assert their political and socio-economic interests, among other things, preparing for early elections to the Verkhovna Rada. And yet, is there a future for Ukrainian capitalism? In principle, capitalism as a system based on private initiative and responsibility, the future is. However, the current Ukrainian oligarchic model is unthinkable hypertrophied role of the state (namely, financial-industrial groups) of the future, it seems, no. But a giant political influence of the oligarchs securely locks (at least, until now blocked) is not only real steps to radical change on the part of social activists and representatives of small and medium-sized businesses, but even any serious talk about them in the various television talk shows.

All of these attempts sane businessmen and economist heralds the oligarchs publicly stigmatized and called crazy. Well, I have to agree with the fact that Ukraine is not America. Never and no one in the Ukrainian authorities did not appreciate economists and representatives of small and medium business. But in America economists and the middle class – the most respected people. For example, before the 2008 crisis, U.S. economic growth continued for 130 months in a row! Needless to say – the Golden age! Every day the sun! But after the crisis was the growth of the US GDP, for example, in the past 2016, he crept up to 2%. But how much is still in power in Ukraine will steer dogma, scams, verbiage and apologists?!

Unlike populist policies, where the most important thing is to speak beautifully on television, a policy of economic development requires knowledge, serious attitude and, most importantly, a very high responsibility. And what is good for our populists – is the lack of responsibility, they say, the Ukrainian market will decide everything. But if market is all about, and it is not necessary to think, and calculate in advance the effect of the decisions is not necessary, and to meet the obligations is not necessary. Such a philosophy we have, unfortunately, common. Though now less in the rhetoric of liberal utopia (almost none of the politicians now speaks with radical liberal ideas), of course, except for rare well-known individuals who still continue to do a large-scale advertising.

Related news: Changing the world in 100 days. As Elon Musk on Twitter agreed to rescue Australia from the energy crisis

So, abandoning the populist rhetoric, what to do? Many markets, including Ukrainian, can turn in the direction of change. But for this we have in Ukraine, experts and entrepreneurs need to organize the mutual exchange of information on state regulation, forms and methods of responding to various crisis situations in the country to help protect business interests in the circumstances of this great crisis. Of course, knowing that, first, the crisis is far from over. So, among the directions of reforming of the Ukrainian legislation it is necessary to highlight the necessity of legal regulation of relations between government and business. The main task of the state is to promote the development of small and medium business, providing them the most freedoms.

Second, to improve state regulation of all spheres of the economy and especially the banking sector, securities market, insurance and private pension provision. Thirdly, the task of upgrading and innovation in the real sector of the economy cannot be solved without fundamental changes in antitrust law, and bankruptcy. Fourth, to improve legal regulation in the sphere of corporate and public property. Well, that’s enough. God forbid, it is to perform.

Alexander GONCHAROV,

The head of the site http://privatization.in.ua/,

Director of the Institute for development of economy of Ukraine

The editors can not agree with the opinion of the author. If you want to write under the heading “Opinion”, read the rules of the publications and write on [email protected]

I 112.ua in your Telegram
and Facebook.
Quickly and succinctly about the most important.
Source

Leave a Reply

Your email address will not be published. Required fields are marked *