If every effort is not made to transform the economic policy from populist to a policy of sustainable development, if urgent anti-inflationary measures designed for such economic strategy are not applied, steeply increasing inflation will inevitably entail destructive consequences, People’s Deputy, Party of Regions parliamentary faction Vice-Chairman Anatoliy Kinakh said.

In particular, he reminded that in April inflation of consumer prices in Ukraine amounted to 3.1%, and over four months reached 12.8%. In industrial sector as of April it totaled 6.6%, over four months it was about 20%. It is quite indicative that these indices are twice higher than over the same period in 2007, and the highest among the CIS and East European countries.

“Definitely, the state of affairs within the country is severely affected by the rise in world prices for energy resources and food stuffs, consequences of sophisticated economic processes on global markets. However, the main reason of inflation in Ukraine is implementation of a policy of wasting national resources and ignoring of the necessity to be engaged in economic development”, Anatoliy Kinakh outlined.

Energy-saving and advance of energy efficiency, modernization of production and upgrading of capital assets, introduction of the latest innovation technologies, regulation of land matters, adjusting of the permanent channels of investment inflow in the Ukrainian economy should comprise a strategy of economic development. Such approach has nothing in common with political voluntarism and endless PR-projects recently presented in the economic sphere.

Anatoliy Kinakh warned that provided urgent measures are not introduced and objective economic laws are neglected the impact of growing inflation can substantially weaken the economy and ruthlessly hurt the people’s welfare.


Press-service of People’s Deputy of Ukraine Anatoliy Kinakh