Page 23 - UKRRptNov19

4.3 Fixed investment
Fixed investment is growing steadily both year-on-year and quarter on quarter to hit a cumulative UAH233bn in the second quarter, up from UAH108bn in the first quarter. In quarter on quarter terms a total of UAH126bn was invested in the second quarter which is some 10% more than the previous quarter and marginally up from a year previously.
Fixed investment has now been rising by about 10% a year for the last three years, but remains under performing to produce an economic boom which is clearly possible if the investment climate can be restored.
Many factors are holding back greater investment, but leading among them is the banking sector which remains hamstrung by very high non-performing loans (NLPs) and bank managers remain reluctant to lend.
23 UKRAINE Country Report November 2019 www.intellinews.com