MOSCOW, December 8. /TASS/. Ukraine is in a state of real default, although it has not been declared, Viktor Medvedchuk, former leader of Ukraine’s banned Opposition Platform - For Life party who now heads the Other Ukraine movement, said.
In his opinion piece, he noted that Ukraine is ending this year with very negative economic indicators and trends. These include virtually zero GDP growth, a 2% decline in industrial production, and a 12.4% decline in agricultural production, all from an extremely low base. Moreover, the country is experiencing an energy crisis, with annual inflation of 10.9% negating any attempts of indexing citizens' minimum fixed incomes. Wage and utility arrears have grown to 3.5 bln hryvnias ($82.7 mln at the current exchange rate), and 106.6 bln hryvnias ($2.5 bln), respectively, the politician said.
"People continue to grow poorer, plunging into abject poverty. Negative demographic trends have plunged Ukraine to the very bottom of global mortality and birth rates. According to the latest data from the Finance Ministry, national debt of $197 bln (as of October) has already exceeded 100% of last year's GDP of $190 bln. The country is in a state of real, albeit undeclared, default," Medvedchuk said.