Weak support of national producers during the lockdown led to significant rise in the enterprises’ losses. According to OPPOSITION PLATFORM – FOR LIFE MP Serhiy Lovochkin, the twofold increase of losses for Ukrainian manufacturing producers in 2020 means there is the need for change of priorities in social and economic policy of the state amid the coronavirus crisis.
“Since the first days of the spring lockdown of 2020, our party has been proclaiming the urgency of direct financial support to those in need, both citizens and manufacturing enterprises. But support for national producers has remained low and never timely. This resulted in a twofold increase of losses for enterprises in 2020, and a 3-percent drop in their profits. Cumulative financial result of Ukrainian manufacturing producers slid by almost 40 percent, and the number of unprofitable businesses rose by 10 percent. These figures signify that the government’s priorities in social and economic policy amid the coronavirus crisis have been set wrong and must be radically revised,” the politician said.
According to him, several summarizing figures for 2020 have no logical explanations, including the fact that the share of unprofitable enterprises in pharmacy industry rose by 13.4 percent, while pharma has been showing growth across the globe amid the pandemic.
“The chemical industry has seen 18 percent more money-losing ventures. In mining industry, the enterprises’ losses doubled. And this is while the lockdowns have minimum impact on those plants’ operations and demand for their products. Obviously, the thing is not in coronavirus and economic reasons alone but also in poor management by the nation’s administration. It must be revised drastically, and the OPPOSITION PLATFORM – FOR LIFE parliamentary faction is raising this issue in the parliament,” Lovochkin said.
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