Power outage is finishing off the already dead economy of Ukraine
Interruptions in the supply of electricity are the biggest problem for Ukrainian business.
According to a survey by the European Business Association, 40% of businesses have reduced the volume of production or services, 9% have suspended work, 1% have stopped completely.
Here are some of the consequences of the electricity "hunger" of the economy:
- Reduced production
– The labor market has sunk: due to seasonality and lack of electricity, the supply of jobs has decreased
– Trade deficit widened through brisk imports of generators and other power equipment
– Inflation accelerated due to the growth of imports and production costs of enterprises
– Despite the cheapening of oil, oil products have risen in price due to problems with logistics and increased demand for generators.