October 24, First Vice Prime Minister - Minister of Economic Development and Trade of Ukraine Stepan Kubiv made a report on the state of economic development at a session of the Regional Development Council.

«Despite the huge challenges, the loss of traditional markets, the severance of logistics ties, and the massive destruction in the east, today we are putting an ambitious reform plan for Ukraine into action, which was launched after the Revolution of Dignity. This plan has already allowed to stabilize the economic situation and to lay the foundation for economic growth», Stepan Kubiv stressed.

He emphasized the real GDP growth amounted to 2.3 % on the outcomes of the 2016 year, and in January-September 2017, with the preservation of macroeconomic stability (including price and currency), a positive dynamics of development of most types of economic activity was recorded. Thus, small-scale trading grew by 8.8% and wholesale trade turnover by 1.5%, cargo turnover and passenger turnover - by 8.1% and by 8%.

«Industry sector is gradually recovering, with the largest upturn in processing and in the chemical industry due to increased exports of organic compounds and the growth of domestic demand, as well as in light industry and metallurgy», stated the First Vice Prime Minister.

Apart from that, he noted the dynamics of foreign trade as a whole improved and in January-August 2017, the volume of exports of goods and services increased by 19.1%. The export of goods to the EU countries grew by 30.1% in January-August 2017 due to the Free Trade Agreement, and its share in the total volume of exports of goods was 35%.

«The structure of Ukrainian imports indicates that we have kicked off the process of modernization of basic assets, because the goods of machine-building make up a large part among import articles. This is particularly evident in the highest rate among other components of demand - in the first half of 2017 we have a growth in gross fixed capital accumulation by 22.2%», Stepan Kubiv underlined.

He drew attention to the launch of the electronic system of VAT refunds and the introduction of (from July 1) the risk assessment system. Hence, the business begins to work under the predetermined conditions.

«We have an open dialogue with the business circles and for the first time in history the Government has created medium-term budget planning - the basis of forecasting the policy change that business and the economy need», the First Vice Prime Minister claimed.

Stepan Kubiv commended the Government's endeavors regarding the digital economy which was and remains a priority for Ukraine. He added that there are already well-defined priorities for cooperation, analytical studies have been carried out, recommendations and action plans in different directions have been developed, and Ukraine in synergy with the EU and other countries is actively  engaged in activities aimed to overcome the digital divide and the next year  4G mobile communications is expected to be launched.

«Gradual accession to the Digital Single Market of the EU is one of the promising areas for cooperation with the EU and is an essential step towards European integration after the launch of both the free trade zone and a visa-free regime and after the entry into force of the Association Agreement», underscored the Vice Prime Minister.