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Economic Priorities in Post-war Ukraine

15.02.2023 The latest report by CASE and CASE Ukraine

Ukraine has been a stellar example of a little reform going a long way. First invaded by Russia in 2014, the Ukraine of 2022 was a different country, with more resilience, more ability, and more depth. As it pushes to repel the Russian aggressor, it is never too early to think about how Ukraine can continue its reform process and become a state that is free of Russia, economically strong, and a model for policy reform.

The ways in which Ukraine can attain this goal are contained in the economic roadmap, “Economic Priorities in Post-war Ukraine,” produced by Ukrainian experts and world-class policy advisors under CASE-Center for Social Research and CASE Ukraine and funded by agencies from around Europe and the United States. This report focuses on the essential reforms that will help Ukraine with the post-war reconstruction, as well as enable progress in its efforts on the way to EU membership.

Over 30 years of independence, Ukraine has launched almost all of the necessary reforms to build and develop a market economy. In 2014, Ukraine signed the EU-Ukraine Association Agreement, and substantial progress has been demonstrated since then. However, the country fought against a legacy of start-stop reforms and inattention to major objectives such as building the rule of law and encouraging private sector competition. Before the full-scale Russian invasion, it had been making progress in institutional reforms but still had far to go.

This report addresses many of the complex tasks that Ukraine needs to complete, with the main challenge is the rule of law, a problem for three decades. Our team of experts proposes specific mechanisms to make the transition to a country which respects the rule of law, including ways to improve the judiciary, respect property rights, and encourage private sector competition. The report also examines the question on how the Ukrainian government can attract funding and rebuild the country after the war is over, discussing ways in which the EU and the donor community can be involved.

The eventual end of the war also provides Ukraine with a unique opportunity to leap ahead in the European integration process and to finish its institutional reforms. With Ukraine now a candidate for EU membership, the prospects of the integration process, the unprecedented support for integration with the EU in Ukrainian society, and the continued support of the West present Ukraine with a way forward and overcoming the obstacles that have delayed, stalled, or even caused the abandonment of reforms in the past.

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