Ukraine Business

For several days, in my opinion, deliberately undermined public confidence in the system, sowed panic, people began unjustly randomly withdraw funds from deposit bank accounts. Banks, in turn, this had not been prepared because the funds invested in long-term loans. Such as the acquisition and construction of movable and immovable property in large amounts. Naturally, the banks do not were prepared for what they had to quickly return the deposit and they ceased to issue full credit for lending to small and medium business, ceased to pay the deposit, which rightly caused a panic among population. – The second major cause of deterioration in business activity in Ukraine is a sharp decline in purchasing power, this is due to several reasons, which stem from the first point is: 1. Non-payment of deposits, 2. The growth of the dollar against the hryvnia.

The increase in prices for some products, many companies, in order to survive, you must increase the price of their goods. 3. More info: Hikmet Ersek. Inflation. 4. Reducing or risk reduction for many employees an opportunity to decrease their spending, and some of the money saved for a rainy day. – Care to market in the country of many foreign investors with different levels of investment portfolio. Reason for leaving, a lack of confidence in the government and its own policies on development and strengthening of entrepreneurship in the country.

Largely developed by corruption. – Significant decrease assets, which provided not only for implementation, but also the use of those assets as collateral. Ie assets fell in price, they can not sell because it is not profitable, and it is impossible to lay in some cases, assets are not enough to bail the bank. -In some cases, increases in accounts receivable, and as a consequence and payables. In many cases, enterprises are not able to fulfill their those or other obligations of reasons beyond their control. – Long-term deferred payment, which is detrimental impact on businesses operating in the credit money. – Well, of course, a significant level of inflation, caused by the actions of the above major factors. All these factors put further development of business and entrepreneurship to survive hell, some companies leave the market and recognize yourself bankrupt Some are more occupied expectant attitude. And some, as it does not sound strange, develop and successfully, using new and advanced technologies. But talk about this in our next publication.

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Thursday, January 26th, 2017 News