Pages

Wednesday, September 18, 2019

New Ukraine gov't plans 'economic revolution'

Ukraine’s libertarian revolution - Atlantic Council - James Brooke:

September 10, 2019 - "Kyiv is ground zero for the most significant economic revolution in the region today. In a libertarian reshaping of Ukraine’s post-Soviet system, the new government plans to approve the largest farm land market in Europe, the biggest post-Soviet privatization fire sale in a generation, and the opening of roads, railroads, ports, airports, oil and gas to private investment. Casino gambling and amber mining are to be legalized. Foreign exchange controls are to be lifted. Labor laws are to be liberalized.

"In a whirlwind of legislative activity reminiscent of Franklin Roosevelt’s First 100 Days, Ukraine’s new government is creating opportunities for billions of dollars of foreign and national investment in the 2020s. In a move bound to unleash years of pent up investment, the central bank promises to cut interest rates in half by the end of next year. Putting small government in practice, Ukraine’s new Prime Minister, Oleksiy Honcharuk last week cut the number of ministries by one third — from 25 to 17....

"Volodymyr Zelenskyy won an open, multiparty presidential race, emerging with ... 73 percent of the final presidential vote in April. Three months later, in parliamentary elections, he won a clear majority — 60 percent of Rada seats. In late August, Zelenskyy’s trust rating was 70 percent, according to a survey by the Ilko Kucheriv Democratic Initiatives Foundation. On the campaign trail, Zelenskyy was short on promises and short on interviews. Voters elected a black box. Last week, he jumped out of that box and proved to be a 41-year-old libertarian.

"Part of the shakeup is a generational turnover. The post-post-Soviet generation now run Ukraine. With the youngest cabinet in Europe, average age 39, Ukraine’s cabinet members order their food online, order their taxis online, order their vacations online, and pay in stores with contactless bank cards. Faster adapters to new technology, Ukrainians bought 56 percent of their railroad tickets online this summer....

"Creating the 'state in the smartphone,' is the task of Mykhailo Fedorov, Ukraine’s new deputy prime minister and minister for digital transformation. At 28, he shares the title of Europe’s youngest minister with Virginius Sinkevicius, Lithuania’s economy minister. Encapsulating Kyiv’s ambitious plans to create Estonia-style e-citizenship, Fedorov tells the Kyiv Post: 'Eventually, people will stop noticing the government. They’ll be using it like they use Uber or Booking.com — only when they need it.'

"Press reactions range from ho hum to skeptical to hostile. 'Vulgar libertarianism,' sniped one Kyiv economist. Traditional political scientists, trained to identify a revolution as a worker-peasant alliance taking over the telegraph office, do not see anything special going on. Many Ukrainian free marketers are sulking in the sidelines because they misread the Zelenskyy movement last spring. But with the government’s goals and deadlines clearly set, the prime minister reports that more and more Maidan-era talent are signing up to help."

Read more: https://www.atlanticcouncil.org/blogs/ukrainealert/ukraines-libertarian-revolution/
'via Blog this'

No comments:

Post a Comment