Business Climate Index Rises in All Regions of Ukraine: Best Indicators in the West
The Business Climate Index in Ukraine has shown growth across all four regions, indicating an overall improvement in conditions for entrepreneurial activity. The most favorable assessments have been recorded in the western regions, where the majority of business representatives view the current situation positively.
This is reported by AgroReview
Business Climate in the West: Safety and Support
In Lviv, 65% of entrepreneurs consider the conditions for doing business satisfactory, and 74% of companies operate without restrictions. The integral Business Climate Index here stands at 2.64 points, the highest among all regions and surpassing last year’s result (2.62 points). The main advantages cited by Lviv entrepreneurs include a relatively safe situation, mass relocation of companies, and active dialogue with local authorities. However, among the main challenges remain the shortage of qualified personnel, difficulties in employee reservation, and frequent changes in legislation.
Situation in Other Regions: Kharkiv, Odesa, Dnipro
In Kharkiv, the situation remains the most challenging: 79% of companies assess the conditions for doing business as difficult, and only 21% of enterprises are operating at full capacity. Despite this, the Business Climate Index here has increased from 1.45 to 1.92 points, although it remains the lowest among the regions. The main problems identified by Kharkiv entrepreneurs include a severe shortage of staff, a decline in the purchasing power of the population, and limited access to financial resources.
In Dnipro and Odesa, the dynamics are more positive: the share of companies operating at full capacity has noticeably increased — to 56% in Dnipro and 44% in Odesa. The integral assessment of the business climate in Dnipro has risen to 2.44 points, while in Odesa it has reached 2.39 points, which is several points higher than last year’s level. Entrepreneurs in the southern region note the effective operation of ports and business flexibility but emphasize acute problems with staff shortages, logistics, and high levels of corruption.
“Despite all the challenges, Ukrainian businesses continue to demonstrate resilience and readiness for development. Among the common needs of all regions are insurance against military risks, infrastructure restoration, reducing the burden on the wage fund, and a transparent employee reservation procedure.”
Overall, entrepreneurs in all regions of Ukraine highlight the need to improve mechanisms for insuring military risks, restoring infrastructure, reducing tax pressure on the wage fund, and implementing transparent employee reservation procedures as key conditions for further business development.