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September 6, 2021

Online Consultations: Ukraine Systematic Country Diagnostic 2021

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Highlights

  • This Systematic Country Diagnostic (SCD) for Ukraine evaluates the progress made since 2017 and assesses the country’s development constraints and priorities.
  • Many of Ukraine’s development challenges can be traced back to persistent and pervasive weaknesses in institutions, which impede stronger, sustained economic growth, the delivery of basic public services to citizens, and job creation.
  • The SCD proposes four pathways to gradually overcoming these challenges, building back better from the COVID-19 shock, and tackling climate change.

What is a Systematic Country Diagnostic?

A Systematic Country Diagnostic (SCD) is a report produced by the World Bank for a partner country (usually every five years) that determines how a country can end poverty and boost shared prosperity, and the challenges that stand in the way of those twin goals. The SCD aims to identify the main economic development priorities of the country, including but not limited to those supported by the World Bank.

The report is prepared for the benefit of all interested stakeholders, including citizens, governments, private sector, non-governmental organizations, media, and other development partners. Consultations are crucial to ensuring the findings are relevant to each of these stakeholders.

Systematic Country Diagnostics for Ukraine

The first comprehensive SCD for Ukraine was prepared in 2017, as the country was emerging from the acute political, security and economic shocks of 2014-2015. The 2021 SCD evaluates the progress made since the 2017 SCD and assesses whether the development constraints and priorities identified then remain relevant today.

2021 Systematic Country Diagnostic Update for Ukraine: Main findings and pathways

The 2021 Ukraine SCD Update posits that most of Ukraine’s development challenges can be traced back to persistent and pervasive weaknesses in institutions — across the length and breadth of the public sector — which then become susceptible to capture and influence by vested interests. It is this weakness that impedes stronger, sustained economic growth, delivery of basic public services to citizens, and job creation. In turn, weak institutions have held back improvement in standards of living and shared prosperity: average per capita income levels today in Ukraine are no higher than they were in 2008. These challenges are compounded by the COVID-19 shock, even as new risks, notably from climate change, have emerged.

The SCD proposes four pathways to gradually overcoming these challenges, building back better from the COVID-19 shock while at the same time tackling climate change and adapting to its effects:

  1. Stronger institutions, rule of law, and reduced footprint of the state
  2. Macroeconomic resilience and support to long-term green growth
  3. Private sector productivity and investment in an inclusive and environmentally sustainable manner
  4. Social resilience: Investing in and protecting the poor

Successfully navigating these four pathways is expected to result in sustained and resilient economic growth that benefits all of Ukraine’s citizens.

Download the Summary of Findings

We want to hear from you!

Help us make the Ukraine SCD Update relevant, timely and impactful! We welcome advice from all interested parties – both local and international – and would be especially grateful for responses to the following questions:

  • What are the most important reform priorities for Ukraine over the next five years?
  • What are the main challenges and obstacles to conducting these reforms?
  • Are there any areas or issue that are NOT included in the four pathways above but which are nevertheless very important for Ukraine’s economic development and prosperity?
  • Are there any areas or issues that you think are not as important for the next five years?

Online consultations are open from September 6 to September 20, 2021. Let us know what you think by sending your comments or suggestions in Ukrainian, Russian, or English to the SCD Team at scd_team@worldbank.org Please indicate Ukraine SCD Online Consultations in the subject line of your message. Your responses will be analyzed as part of the ongoing SCD online consultation process.

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Infographic: Ukraine SCD - 2021 Update

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Open the full version of the infographic.