Dragon Capital on the main risks and concerns.

Fiala named Russia as risk number one to the Ukrainian economy. The second, a possible deterioration in the commodity and financial markets. Third, a rollback in the reforms. He recalled that since 2014, all business associations have been convincing the Ukrainian government of the need to create a new non-corrupt and professional law enforcement agency instead of the tax police, the Economic Crime Department in the Ministry of Internal Affairs, and the “K” Department in the State Security Service. Instead,

“Ukraine’s Economy Back in Recession as Virus, Rate Hikes Weigh,”

 Bloomberg headlines, citing the latest dip in official GDP numbers. Second-quarter GDP fell by 0.8% compared to the first quarter, reports the State Statistics Service. This fall comes after the Q1 GDP was 1.2% below the last quarter of 2020. A recession is defined as two consecutive quarters of economic shrinkage. Compared to disastrous first half of 2020, the first half 2021 was up 1.7%, stresses the Economy Ministry.