Tuesday, September 6 2016 15:30 EEST
Ukraine losses of at least $15 billion from barring of Ukrainian manufacturers from the Russian market
Ukraine, politics, business, economy, losses, $15 billion, closed, barring, Ukrainian manufacturers, Russian market, Petro Poroshenko, economic shock, speech, Parliament

Ukraine loses $15 bln from closed access to Russian market

Barring of Ukrainian manufacturers from the Russian market was an economic shock for Kyiv, which inflicted losses of at least $15 billion, Ukrainian President Petro Poroshenko said, according to Interfax-Ukraine.

'Russia's aggressive closure of its market came as an economic shock for Ukraine. According to some estimates, it cost us at least $15 billion. We lost tens or even hundreds of thousands of jobs, and this economic aggression is a primary reason for plummeting living standards,' the president said in his annual address to the Verkhovna Rada on Tuesday.

Practically a third of Ukrainian exports went to the Russian market at the beginning of this decade, Poroshenko said. 'The Kremlin attack started before Maidan: their restrictions cut Ukrainian exports to Russia by 15% already in 2013,' the president said, adding that exports to Russia halved in 2015 compared to 2014.

'We have not hit rock bottom yet, the decline continues: it reached 34% in the first half of this year. Russia's share in Ukrainian exports currently stands at 9% and falling. Those who love to speculate that 'somebody is making money on trade with Russia during the war' should take notice of the final digit - our exports to Russia have fallen five times in recent years,' the president said.

This is good from the strategic angle, as Ukraine's dependence on the Russian market 'ruled by political blackmail and imperial pressure rather than economic laws' has drastically reduced, Poroshenko said.

The president added that the Ukrainian administration should search for markets for domestic commodities.

As reported earlier by 1492news.com, 'I emphasize, everything is different now. Just let them try!' - Poroshenko. 

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