LOGO Unemployment in Ukraine www themegallery com

LOGO Unemployment in Ukraine.

www. themegallery. com The economy of Ukraine is an emerging free market, with a gross domestic product that fell sharply for the first 10 years of its independence from the Soviet Union and then experienced rapid growth from 2000 until 2008.

www. themegallery. com Formerly a major component of the economy of the Soviet Union, the country's economy experienced a deep recession during the 1990 s, including hyperinflation and a drastic fall in economic output. Company Logo

www. themegallery. com In 1999, at the lowest point of the economic crisis, Ukraine's per capita GDP was about half of the per capita GDP it achieved before independence. GDP growth was first registered in 2000, and continued for eight years.

www. themegallery. com However Ukraine was greatly affected by the economic crisis of 2008 and as a result the World Bank expects Ukraine's economy to shrink 15% in 2009 with inflation being 16. 4%.

www. themegallery. com The second Tymoshenko Government had predicted GDP growth of 0. 4% in 2009, and a slowdown in inflation to 9. 5% (also in 2009), although the overwhelming majority of economists considered this forecast to be excessively optimistic. A 15. 1% decrease in Ukraine's GDP took place. Inflation slowed in July 2009 and stayed at about 8% since. Company Logo

www. themegallery. com In 2008 the hryvnia (Ukraine's currency) dropped 38% against the US dollar, eclipsed only by the Icelandic krona and the Seychelles rupee. The hryvnia recovered in 2010 (strengthened 0. 5% against the dollar) after weakening as much as 49% in the 14 months through August 2009.

www. themegallery. com There was 3% unemployment at the end of 2008; over the first 9 months of 2009, unemployment averaged 9. 4%. The final official unemployment rates over 2009 and 2010 where 8. 8% and 8, 4%. Although according to the CIA World Factbook in Ukraine there are "large number of unregistered or underemployed workers".

www. themegallery. com The Ukrainian economy recovered in the first quarter of 2010. Ukraine's real GDP growth in 2010 was 4. 3%, leading to per capita PPP GDP of 6, 700 USD.

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www. themegallery. com In 1910, Ukraine's GDP was estimated at 7 per cent of USA (about the same size as the Netherlands). By 2010, Ukraine's GDP had shrunk to 1 per cent of USA. The nation has many of the components of a major European economy - rich farmlands, a welldeveloped industrial base, highly trained labour, and a good education system. At present, however, the economy remains in poor condition.

www. themegallery. com While Ukraine registered positive economic growth beginning in 2000, this came on the heels of eight straight years of sharp economic decline. As a result, the standard of living for most citizens has declined more than 50% since the early 1990 s, leading to a relatively high poverty rate.

www. themegallery. com The macroeconomy is stable, and the hyperinflation of the 1990 s has subsided. Ukraine's currency, the hryvnia, was introduced in September 1996. The economy has continued to grow thanks to exports since 2000, although at uneven speed and being highly affected (circa -15% GDP growth) by the late-2000 s recession and the 2008– 2009 Ukrainian financial crisis.

www. themegallery. com In general, growth has been undergirded by strong domestic demand, low inflation, and solid consumer and investor confidence.

www. themegallery. com Ukraine is relatively rich in natural resources, particularly in mineral deposits. Although oil and natural gas reserves in the country are largely exhausted, it has other important energy sources, such as coal, hydroelectricity and nuclear fuel raw materials.

www. themegallery. com Ukraine has a major ferrous metal industry, producing cast iron, steel and pipes. As of 2005, Ukraine was the world's eighth largest steel producer. Another important branch is the country's chemical industry which includes the production of coke, mineral fertilizers and sulfuric acid. Manufactured goods include metallurgical equipment, diesel locomotives, tractors, and automobiles.

www. themegallery. com The country possesses a massive high-tech industrial base, including much of the former USSR's electronics, arms industry and space program. However, these fields are state-owned and economically underdeveloped.

www. themegallery. com Ukraine is a major producer of grain, sugar, meat and milk products. It is the largest producer of sunflower oil in the world. Because Ukraine possesses 30% of the world's richest black soil, its agricultural industry has a huge potential.

www. themegallery. com However, farmland remains the only major asset in Ukraine that is not privatized, hampering access to international investments and best farming technology. The agricultural industry in Ukraine is already highly profitable, with 40 -60% profits, but according to analysts its outputs could still rise up to fourfold.

www. themegallery. com Since the late 1990 s, the government has pledged to reduce the number of government agencies, streamline the regulatory process, create a legal environment to encourage entrepreneurs, and enact a comprehensive tax overhaul.

www. themegallery. com Outside institutions — particularly the International Monetary Fund— have encouraged Ukraine to quicken the pace and scope of reforms and have threatened to withdraw financial support. But reforms in some politically sensitive areas of structural reform and land privatizations are still lagging.

www. themegallery. com Ukraine encourages foreign trade and investment. The Parliament of Ukraine has approved a foreign investment law allowing Westerners to purchase businesses and property, to repatriate revenue and profits, and to receive compensation if the property is nationalized by a future government.

www. themegallery. com However, complex laws and regulations, poor corporate governance, weak enforcement of contract law by courts, and corruption all continue to stymie direct large-scale foreign investment in Ukraine. While there is a functioning stock market, the lack of protection for shareholders' rights severely restricts portfolio investment activities. Total foreign direct investment in Ukraine is approximately $17. 4 billion (17. 4 G$) as of April 2006.

www. themegallery. com The EU is Ukraine's largest trading partner, with 27. 1% of exports and 33. 7% of imports in 2008; and trade with EU has seen strong double-digit growth in recent years. The Russian Federation is Ukraine's second largest trading partner, with 21. 1% of exports and 28% of imports in 2009. An overcrowded world steel market threatens prospects for Ukraine's principal exports of non-agricultural goods such as ferrous metals and other steel products.

www. themegallery. com Although exports of machinery and machine tools are on the rise, it is not clear if the rate of increase is large enough to make up for probable declines in steel exports, which today account for 46% of the country's overall exports. Ukraine is also among the top 10 arms exporters in the world.

www. themegallery. com The signing of recent large contracts may put Ukraine into 6 th place among biggest arms traders, after the United States, Russian Federation, France, Germany and Israel. The output of Ukrainian defense plants grew 58% in 2009, with largest growth reported by aircraft builders (77%) and ship builders (71%).

www. themegallery. com A number of foreign guest workers come to work in Ukraine, mainly in seasonal farm work and construction industry, especially from neighboring Moldova and Belarus. Meanwhile, large numbers of Ukrainian guest-workers work in EU countries.

www. themegallery. com An influx of cheap migrant labor from Central and East Asia and Africa is also expected in Ukraine in 2011 -12, due to labor shortages during the construction rush leading up to the Euro 2012 championship that will take place in Ukraine. Company Logo

www. themegallery. com On June 24, 2010 Ukraine's Foreign Minister Kostyantyn Hryshchenko signed an agreement on free trade with the European Free Trade Association (EFTA).

www. themegallery. com Ukraine's western neighbours (Poles, Slovaks, Hungarians and even Belarusians) are known to come to Ukraine to purchase products and presents, such as food or gasoline, that are cheaper in Ukraine than in their home countries.

www. themegallery. com According to specialists, a double taxation avoidance treaty with Cyprus (signed in 1982 by the Soviet Union) has cost Ukraine billions of US dollars of tax revenues. Company Logo

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