The policy papers are the joint product of the German Advisory Group for Economic Reforms in Ukraine and the IER aimed at providing economic policy recommendations to Ukraine’s policy makers. The recommendations are based on the careful analysis of Ukraine’s situation, state-of-the-art economic theory, and best international practices. The papers are available for policy makers and – with some time lag – for general public.
Archives:
The National Bank of Ukraine (NBU) is currently in a transition phase towards Inflation Targeting (IT). While this fundamental change in its monetary policy strategy is highly commendable, it nevertheless requires significant changes in the governance framework.
Gas transit through Ukraine and gas imports by Ukraine are decreasing. The pipeline system is ageing and the current regulatory framework does not meet the European standards. In this context, the current organisation of the Ukrainian gas transmission system is revealing its substantial weaknesses: The high degree of government intervention in determining access conditions and tariffs is scaring off (potential) users and the lack of a sufficient and predictable income stream prevents long-term investments into the infrastructure. One key question when discussing reforming the regulatory framework is how gas transmission tariffs are structured and determined. The tariffs determine the business case for the operator and provide incentives for modernisation and efficient operation.