This week I’ve learned that our Mayor has been put in jail. I have limited information on the events that have taken place, but it is election season and in Ukraine you are guilty until proven innocent.. the timing of the charges are suspect to say the least. Pray for this situation, for us foreigners to be wise and innocent of evil. I thought it would be a good time to remind everyone (including our Ukrainian readers) the real status of Ukraine with some statistics I’ve borrowed from our friend Wayne in Khargalyk.
- Ukraine has a negative growth rate: -0.62% (227th out of 233 countries)
- Ukraine’s death rate is the 10th highest in the world.
In the international report, Doing Business 2010, category:
- Ease of Paying Taxes – Ukraine placed 181st out of 183 economies. An average a medium-size company must pay taxes an incredible 147 times per year.
- This complexity drives a large portion of taxable income into the shadows: estimated around 50%
- It also breeds an environment for paying bribes. In the Corruption Perception Index Ukraine is ranked tied 146th with countries including Zimbabwe, Kenya, Russia & Ecuador.
- Dealing with Construction Permits. Ukraine continues to be outright last. (twice as many permits, taking 3 times longer and costing 25 times proportionally higher than in the average high income economy)
Some facts from the CIA World Factbook (2009):
“The drop in steel prices and Ukraine’s exposure to the global financial crisis due to aggressive foreign borrowing lowered growth in 2008 and the economy contracted more than 14% in 2009, among the worst economic performances in the world”
- GDP real growth rate: -14.1 % (210th of 214 countries).
- Inflation rate (consumer prices): 12.3% (205th of 222 countries).
- Industrial production growth rate: -25.4% (165th of 167 countries)
Hey Bruce – would be interested in the links to those stats – somehow they didn’t work for me.
PS: if i read that bit about paying tax before i started a business i might never have done it – sometimes ignorance is bliss