According to the World Competitiveness Rating, when protecting economy from the impact of the crime, this year the state ranked 113th out of 137 countries covered by the rating. CASE Ukraine`s senior economist Volodymyr Dubrovsky commented on the results of the rating for the ‘Radio Svoboda’ media outlet.
Over the past year, this indicator has significantly improved, as well as the competitive rating of Ukraine as a whole. Stronger than in Ukraine, the impact of a crime on business is in such EU member states as Italy and Bulgaria. According to it, business in Ukraine is mostly hampered by racketeering and raider attacks, both from organized crime and Ukrainian security officials.
‘In form of racketeering and raider attacks, organized crime affects entrepreneurs. However, one has to recall the state racket. We are talking about the Department for Combating Economic Crime (SBU`s economic department) and State Fiscal Service`s special forces units. In fact, they ‘perform the same functions’ as a bandit’, the expert commented.
In order to curb the crime that impedes business, Volodymyr Dubrovsky advises to restrict repressive functions of state structures in relation to business. Recent changes to the legislation, which include the creation of a financial investigation service (which ‘cannot become a racketeer’) – is a positive step in this direction. Police have to resist crime`s impact on business. However, if the reform of the police is not completed, the problem of the impact of the crime on business will not be overcome, Dubrovsky predicts.