The expert is sure that the country needed to show more significant growth
The growth of Ukraine in the Doing Business ranking does not attract the attention of foreign investors who expect the country’s more impressive breakthrough. This opinion was expressed by Executive Director of the International Fund blazer Oleg Ustenko, reports UBR.
“By itself, raising the rating does not give a result, but to say that such ratings are ignored by investors — also not true. Never investor looking for only one rating. There is another competitiveness index, economic freedom index, which focuses on the level of corruption in the country, the index of human capital development. All that the investor pays attention. These comprehensive rankings are a reflection of the level of risk that exists in the economy. When the investor makes the decision on entry in the economy of any country, he always looks at two main parameters: the level of potential profitability and risk level. And all these ratings for him is just a reflection of the riskiness. If its magnitude would be unacceptable, he shall not enter into the economy. When the investor looks at the Doing Business report and sees Ukraine on the ‘ 70s, then realizes that this is not progress,” — said Ustenko.
- Ukraine was aimed in the TOP 50 of the Doing Business ranking
He is sure to attract the attention of potential investors can either country from the first twenty of a rating, or when the country makes a sharp move up by 20-30 and more items.
“It’s a slight improvement. Now the world is global capital flows. Investors are scared, trying to avoid any kind of risk. But there are countries with a high level of risk, like Ukraine, who need capital in order to provide a higher rate of economic growth. It turns out that for reduced resource investment competition in the world increases. And Ukraine may just lose the competition making such little progress,” Ustenko summed up.
Recall that Ukraine took the 71 place among 190 countries in the last published annual ranking of the world Bank.