Policy Papers

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.




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  • 01.09.2014

    Ukrainian Machine Building: Strategic options and short term measures in view of trade disruptions with Russia


    Ukraine faces the possibility of major trade disruptions with Russia due to the current political tensions. The machine building sector is most exposed to the Russian market among all Ukrainian sectors, with 32% of output being exported to Russia. For this reason, the focus of the present paper is on this sector.

    Authors:  Kovalchuk Artur, Naumenko Dmytro, David Saha, Ricardo Giucci
  • 03.02.2014

    Evaluating the options to diversify gas supply in Ukraine


    Ukraine is economically dependent on natural gas imports from Russia. This allows Russia to arbitrarily set the price or demand for economic (and political) concessions. In the past, Ukraine was able to use its significant role as a transit country for Eurasian gasto Europe to, nevertheless, negotiate relatively moderate prices. But this role isvanishing. After the completion of the first two strings of Nord Stream, 64% of theexports to Europe could circumvent Ukraine. If either South Stream or the next twostrings of Nord Stream are completed, Ukraine could be fully circumvented.

    Authors:  Georg Zachmann, Науменко Дмитро
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