Archive 2013

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.




2014        2013      2012      2011      2010      2009      2008      2007

2006       2005      2004      2003      2002      2001      2000

  • 09.12.2013

    The impact of the EU-Ukraine DCFTA on agricultural trade


    Foreign trade in agricultural and food products constitutes an important part of Ukraines commodity trade. Moreover, its importance is expected to grow in the future given the high and still untapped sector potential and increasing world demand for agriculture and food products.

    Authors:  Ryzhenkov Mykola, Movchan Veronika, Jorg Radeke,
  • 03.12.2013

    Fiscal consolidation in Ukraine: Why it is needed and how to do it


    The consolidation of public finances is a major topic in many countries around the globein the aftermath of the global financial crisis 2008/09. Rapidly increasing fiscal deficitsduring the crisis put significant upward pressure on the public debt stock, which resultedin public debt crises in some economies. Ukraine was also hit hard during the crisis, andsaw a widening of its fiscal balances, leading to a steep increase in its public debt level toalmost 43% of GDP at the end of 2013 (from 12% in 2007). In a wide definition (i.e.including the operational deficit of state-owned Naftogaz) the overall general governmentdeficit is expected to reach almost 8% of GDP this year, up from 4.3% in 2011.

    Authors:  Betliy Oleksandra, Robert Kirchner
  • 10.04.2013

    Health reform: assessment of the first stage of the health reform in Ukraine

    The paper presents an analysis of the first phase of health care reform.
  • 31.03.2013

    VAT in Ukraine: Would other indirect taxes perform better?


    Currently, a discussion is taking place on whether the prevailing value added tax (VAT) is the appropriate indirect tax for Ukraine or whether it should be substituted by another indirect tax. In particular, critics of VAT highlight the extensive VAT fraud and evasion, as well as the problems to administer VAT. While this discussion is certainly not new in Ukraine, the current debate shows the need for a fresh assessment. Consequently, in this paper we try to answer the question whether substituting VAT by another indirect tax would be a good idea from a fiscal point of view or not.

    Authors:  Betliy Oleksandra, Ricardo Giucci, Robert Kirchner
  • 29.03.2013

    The impact of exchange rate changes on imports of capital and high-tech goods: A quantitative assessment


    There are good economic reasons why the current foreign exchange policy of Ukraine should be changed towards a more flexible regime. Under current conditions, such a change will most probably involve certain depreciation, and affect a number of economic variables in turn. Specifically, policy makers are concerned about the impact on the import of capital and high tech goods, which play a major role for investment and thus contribute to the modernisation of Ukraines often outdated capital stock.

    Authors:  Kravchuk Vitaliy, Movchan Veronika, Robert Kirchner, Jörg Radeke
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