Analysis and assessment of the quality of economic growth in Ukraine based on international ratings.

Abstract

To confront the multidimensional challenges and crises of the 21st Century and to bring about transformative changes in the economy, policymakers need a tool that assesses the quality of economic growth in terms of both factors affecting productivity and consequences for people’s livelihoods and the environment. It is recognized that GDP alone is not sufficient to measure progress towards socially and economically inclusive, equitable and sustainable development. On behalf of the UN Secretary General, studies “beyond GDP” are carried out, aimed at updating and supplementing the UN System of National Accounts – 2008. There is also an update of the international organizations approaches to conduct rating studies of the countries based on balanced systems of indicators of well-being and progress, inclusive and sustainable development. The analysis of the results of such studies made it possible to conclude that in the conditions of worsening systemic risks, the assessment of the quality of economic growth in the country requires a comprehensive multidimensional system of indicators. It should cover, in addition to the volume of GDP per capita and the productivity factors, indicators of the quality of human capital, environmental sustainability, the quality of the management system, in particular, the regulatory and legal framework that forms the long-term development trajectory, the business environment and infrastructure, thereby influencing innovativeness, inclusiveness and resilience of society to shocks and threats. To assess the quality of economic growth in Ukraine, an analysis of the country’s position based on indicators of the economic policy impact on innovativeness, inclusiveness, stability and sustainability was carried out using the materials of the Future of Growth Report 2024 and the Sustainable Competitiveness Report 2023. Drivers and obstacles for the balanced development of Ukraine’s economy are identified, especially the low management capacity for changes towards inclusiveness, stability and sustainability. Proposals have been made to expand the range of indicators for evaluating the innovativeness and sustainability of economic growth in Ukraine, in particular for evaluating the results of the implementation of the Strategy for the Development of Innovation Activity for the period until 2030.