DISINFO: Ukraine is turned into an agrarian and raw materials appendix of Europe
SUMMARY
The main problem of Ukraine is that it is being intensively turned into an agrarian and raw materials appendix of Europe. Therefore, there’s no reason to invest in the Ukrainian agricultural industry. It is uninteresting to invest in agricultural or raw materials production, there is no added value, there is no profit, there are no earnings.
RESPONSE
Recurring pro-Kremlin disinformation narrative portraying Ukraine as a failed state. Consistent with pro-Kremlin narratives alleging that Ukraine is a degrading state that has failed to become part of Europe. According to the State Statistics Service of Ukraine, top areas of economic activity in Ukraine for foreign investment are as follows: industry – 32.9%, wholesale and retail trade – 16.2%, financial and insurance activities – 12.9%, real estate transactions – 12.9%, professional, scientific, and technical activities – 6.5%. As the Financial Times writes about investing in Ukraine, "in spite of the conflict in the south-eastern Donbas region, economic growth is slowly picking up, and investment — though still below the level the country needs — is starting to flow." According to the US Department of State, "Ukraine has significant investment potential given its large consumer market, highly educated and cost-competitive workforce, and abundant natural resources. The Ukrainian government actively seeks foreign investment and established investment promotion agencies that have facilitated foreign investments. Ukraine’s Association Agreement with the EU gives Ukraine preferential market access and is accelerating Ukraine’s economic integration with the EU. Ukraine’s economy demonstrated a real GDP growth of 3.3% in 2018, and the IMF forecasts growth of 2.7% in 2019." For 2019, for the first time investments in Ukrainian startups and IT companies have reached half a billion dollars a year mark. The total volume of venture investments into Ukrainian IT companies has reached $510M, which is one and a half times more than the maximum of 2018.