Page 7 - UKRRptNov23

that the West will abandon Ukraine or force Kyiv into early ceasefire talks with Russia – which show no signs of being willing to negotiate even it were approached – the changes that Ukraine will defeat Russia militarily are increasingly remote. That suggests the war will be protracted, lasting at least another year.
The 2024 budget draft aligns with economic projections, focusing on defence, security, and social protection, with an emphasis on military spending and international financing to cover expenditures. Public debt is expected to rise significantly, necessitating potential debt restructuring in 2024 as fiscal consolidation becomes a challenge.
2.0 Politics
2.1 Kyiv draws up list of priorities for reconstruction
The Ukrainian government, led by the Ministry of Economy, has finalized the concept note required for preparing the Ukraine Plan as part of the Ukraine Facility, a €50 bn financial support program from the EU for 2024-2027. The UF will be an important component in Ukraine's recovery process, focusing on economic growth, internal transformations, and European integration.
The Concept Note serves as a general narrative, outlining reforms and describing priority sectors for growth. Its further elaboration and the identification of clear KPIs will pave the way for finalizing the Ukraine Plan. The document was prepared in close cooperation with specialized experts, think tanks, and the business community. In August, the government also held consultations with representatives of the European Commission to harmonize various elements of the plan, including its overall structure, topic distribution, and individual sections.
The concept note provides a comprehensive framework for steering Ukraine's economic growth and development, addressing several key components.
Macroeconomic Projections: The note begins with a macro-financial overview and growth projections for 2024-2027/2033. A core objective is to achieve a GDP in 2027 that is 10% higher than that of 2021.
Priority Reforms: In coordination with the European Commission, the government has pinpointed five cornerstone areas for reform:
● Public administration
● Public finance system
● Judiciary system
● Anti-corruption and anti-money laundering measures
Sectoral Reforms: Emphasis is also placed on sector-specific reforms designed to invigorate capital and services markets. These include:
● Financial markets
● Management of state assets and privatization
● Human capital
7 UKRAINE Country Report November 2023 www.intellinews.com