Anti-crisis policy directions for innovative industry modernizing and economic security of Ukraine providing

Economic Annals-ХХI: Volume 151, Issue 5-6, Pages: 28-32

Citation information:
Sobkevych, O. (2015). Anti-crisis policy directions for innovative industry modernizing and economic security of Ukraine providing. Economic Annals-XXI, 5-6, 28-32. https://ea21journal.world/index.php/ea-v151-07/

Oksana Sobkevych
PhD (Economics),
National Institute for Strategic Studies
7A Pyrohova Str., Kyiv, 01030, Ukraine
sobkevich@ukr.net

Anti-crisis policy directions for innovative industry modernizing and economic security of Ukraine providing

Abstract. Today Ukraine is going through a complex systematic crisis which has already had a substantial influence not only on the interior security space of Ukraine, but also on the global distribution of production, inventories, labor, investment, etc. The goal of the article is to carry out an analysis of threats to the economic security of Ukraine, caused by the hostilities in the east of the country. The directions of modern anticrisis industrial policy, as a basis for stimulating innovative modernization and strengthening state economic security, are substantiated.

During the undeclared war, Ukraine loses its industrial potential. In 2014 an acceleration of declining industrial production rates has occurred to a level of 10,1 %, mainly due to the destruction of production capacity in Luganskaya and Donetskaya oblast (region). Purposeful destruction of a number of industrial facilities in Donbas severely aggravates the socio-economic situation not only in the eastern regions, but deals a blow to the whole economy of Ukraine causing a critical rise of the level of threats to economic security. Among such primary threats, defined in the article, are: deindustrialization, caused by the destruction of production capacity; shrinking of export potential; a sharp collapse of investment attractiveness and, as a result, a de facto cease of foreign investment inflow and internal investment; reduction of the domestic raw materials base for the fuel and energy complex; a rise of social tensions and protest moods in the society.

In order to minimize the influence of the abovementioned threats, as well as to establish the foundation of a new model of economic development, based on the principles of investment and innovation, we have proposed measures of anticrisis policy, aimed at developing the industrial potential of the Donbas region, minimizing risks associated with the partial loss of access to the Russian market, development of scientific, technological and manufacturing cooperation with the EU, intensification of innovation processes, full utilization of the strong scientific and technological potential rooted in the industry, stimulating energy efficiency and increasing the effectiveness of energy resources utilization in the industry.

Keywords: Anti-crisis Policy; Innovative Modernization; Industry; Threats; State Economic Security

JEL Classіfіcatіon: H56; L60; O14

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Received 10.04.2015