Ukraine’s business climate - global outlook
Tomas Fiala, EBA President and CEO of Dragon Capital
Macroeconomic trends and reform progress
GDP growth in 2016 surprised on the upside and the final figure will most likely be around 1.8%. Strong output in agriculture (+6.1%), construction (13%), industrial production (2.4%), wholesale and retail trade (4.9% and 4.0%) contributed the most. We expect the economy to accelerate in 2017 and grow by 2.5%.
Completion of three reforms, namely pension, land and anticorruption, remaining on track with the IMF program, and further buildup of FX reserves will remain priority areas for investors to watch in 2017.
Taras Lukachuk, EBA Vice President, President EEMEA - Jacobs Douwe Egberts
In the conditions of the new online economy’s development we witness success and booming of Internet marketing. However, economic growth in general is hardly noticeable, because of redistribution of all markets. The FMCG market directly depends on Ukrainians’ purchasing power. Since the latest crisis people have learned not to spend extra money, even on food products. Thus, we cannot see any signs of significant growth in our sector.
Volodymyr Lavrenchuk, EBA Vice President, Chairman of the Board at Raiffeisen Bank Aval
Banking and Finance sector
Within the previous two years the banking system overcame a crisis period. Nevertheless, in 2016 as a result of the recapitalisation process, which affected the vast majority of banks, we now have a top-20 made up of reliable financial institutions.
As for forecasts for the future, I predict the banking sector will become more secure and operationally improved by the end of 2017.
Dmytro Krepak, EBA Board Member, CEO of Visa Ukraine
Electronic Payments sector
The economic environment should be transparent and free. Only in such conditions will the environment be one of zero tolerance to any corruption.
Maciej Tomasz Zielinski, EBA Board Member, CEO at Siemens Ukraine
Industrial Equipment sector
Slight growth in my sector started in the second half of 2016. Moreover, the metals industry exited a period of weakness and still demonstrates growth. We have noticed significant activity in the energy sector – there is a lot of cooperation with companies in this area. Industries actively implement automation and new technologies. That is why manufacturing will also rise dramatically in 2017.