Kiev Authorities Turning Ukraine Into Full-Fledged European Banana Republic
With the Ukrainian economy already teetering on the brink of collapse, the economic portion of Kiev’s association agreement with the European Union threatens to destroy what’s left of the country’s agricultural and industrial base, and to turn Ukraine into a raw materials appendage of the West, independent newspaper Svobodnaya Pressa warns.
“The long-awaited entry into force of Ukraine’s Association Agreement with the European Union, instead of reviving the country’s economy, will lead to its total deindustrialization and degradation,” the newspaper writes, citing former Institute of World Economy researcher Vsevolod Stepaniuc, who said as much at a press conference in Kiev last week. In Stepaniuc’s words, the agreement “provides for nothing else but the production of raw materials and the development of ‘dirty’ sectors of Ukraine’s economy.”
Svobodnaya Pressa laments that “in addition to a fall in the GDP and living standards, this situation is leading to a catastrophic decline in the country’s foreign exchange earnings, hence making it impossible to pay off the debts which have been growing like a snowball rolling down a mountain.”