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DESTRUCTION

Russia's aggression against Ukraine is causing unprecedented destruction. Everything is correctly taken into account by experts. Russia will pay reparations. 

The destruction of the Soviet economic legacy and the formation of Ukraine as a European state

Ukraine received a lot of legacy from the past following the fall of the USSR. Subsequently, there were multiple half-reforms and a line of dubious leaders. But everything changed in 2022 when the Russian Federation engaged in full-scale aggression.

A substantial part of Ukraine's territory has been destroyed as a result of the war from 2014 to 2023. The outcome is an a final reorientation of Ukrainian growth in the direction of the West. The EU and NATO are evolving into plans for Ukraine that are not just desired but also practical. The European nations that overthrew the USSR are examples of what Ukraine might develop into in the future. These states include Slovakia, the Czech Republic, Poland, and a few more.

Ukraine stands out since it is a state with a huge territory. by European standards, enormous. This alters economic development standards dramatically.

Numerous natural resources in Ukraine are actually of major international significance. The Ukrainian economy's structure (in its new format) will not be entirely typical for European countries. The mining industry will play a hugely important part in it.

Ukraine differs greatly from other countries in that it receives enormous amounts of assistance for rehabilitation. We are referring to US money worth hundreds of billions. Similar stories from the past of the world economy are hard to recall.

From the perspective of investments, Ukraine is a special nation in the modern world. Justifications for this judgment:

  • the extent of destruction brought on by the Russian Federation's assault. A situation comparable to what is taking on in Europe following the Second World War;

  • the size of Western states' investments. We're discussing significant sums of money and the establishment of fundamentally new commercial ties in Ukraine;

  • some states' outright rejection of investments. We are first discussing the Russian Federation. Second, one may voice skepticism towards Chinese and Indian investments;

  • a whole new strategy for reviving the state's economy. The strategy plan is relevant. There is no method to revive just specific businesses. Ukraine need structural adjustments. They will be founded on logical advancements. Here, the market's "invisible hand" won't have a big impact.

 

The existence of a neighbor like the Russian Federation marks Ukraine's undeniable distinction from other European nations. This is a really nasty, risky neighborhood.

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