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Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

author:Phoenix.com Finance

It is estimated that everyone did not expect it

After the world thought the Ukraine crisis had ended

Russia would actually "blitz" Ukraine

24th local time

Russia is officially at war with Ukraine

At the same time, Belarus also joined the war

Four directions closed wrapped around the copy

At the same time, it is reported that the special forces of the Russian 76th Airborne Division have been stationed at Kiev International Airport

I've probably drawn a diagram here

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

I'll eat that at noon

Russian media reported that the Russian army had broken through the borders of Kharkiv Oblast

And landed in Odessa

By the time of checkout, the Russians had already taken the Ukrainian headquarters

meanwhile

Ukraine announced the closure of its entire territory

Russia has also closed its airspace in the areas bordering Ukraine

But this move is already a bit redundant

Because according to Russian media reports

The Russian army has paralyzed all the infrastructure and air defenses of the Ukrainian Air Force ...

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Other than that

Major global stock indexes have suffered heavy losses

According to Wind data

As of closing

The three major U.S. stock indexes fell collectively

Dow Jones Industrial Index Down 1.38%

Nasdaq down 2.57%

The S&P 500 fell 1.84%

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

The UK FTSE 100, France's CAC40, Germany's DAX and Italy's MIB have all plummeted

As of now

Down 2.53%, 2.96%, 3.44%, 3.00% respectively

Russian MOEX down 45.22%

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

The contrast with the stock market is obvious

Precious metals and energy have risen sharply

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Time

Buy gold in the North Market

South Market buys energy

Everyone seems to have a bright future

Only injured Ukraine

"Dominated" the market

But everything was lost

In the past, the "industrial power" is now at the mercy of others

Ukraine was once one of the most resource-rich countries in the world

As one of the top producers of cereals and soybeans

Ukraine was once known as the "granary of Europe"

Black soil accounts for 40% of the world's total black soil

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Before the collapse of the Soviet Union

Ukraine is rich in mineral raw material bases, mechanical engineering, steel production, mines and large shale gas mines

It has a large-scale and complete industrial system

Produced 25% of the grain of the whole Soviet Union

40% of steel production

It can build the world's largest transport aircraft with the largest carrying capacity

Possesses the world's third-largest nuclear weapon

It was the second republic in the Soviet economy after Russia

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

At the time of independence in 1991

It has a population of 52 million

With more than 600,000 square kilometers of land, Ukraine remains Europe's undisputed powerhouse

But 30 years passed

Ukraine, which once accounted for 0.41% of the world's GDP, accounted for only 0.18%

The population fell from 52 million to more than 44 million

GDP per capita was $3,425

Less than 35% of Russia's

Not even as good as Mongolia

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

The total value is only $156 billion

Singapore, which is 1/828 of Ukraine, has an area

GDP is twice as large as it is

Today, Ukraine's exports are ranked highest in metallurgy, agricultural products, minerals, animal and vegetable oils and fats

Once highly industrialized, the CIS is the second largest country

It has become an economy that relies on commodities and agricultural exports

It became the poorest country in Europe certified by the International Monetary Fund

It has become a typical example of deindustrialization

Why is it that the king fried with four twos can also be beaten poorly

Ukraine's decay is not a cold day

In 1991

After the first president, Kravchuk, quickly implemented a market economy at home

Post-independence Ukraine became a paradise for oligarchs

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

In their hands

State-owned assets have been sold at a frantic price, or even transferred to foreign capital almost free of charge

The original industrial system was destroyed by the US dollar

Collusive oligarchs and politicians hold the ukrainian regime firmly in place

Every President of Ukraine since Kravchuk

Behind them are the shadows of oligarchs

Some are even oligarchs themselves

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

From 1991 to 1995

Ukraine's GDP growth rate is -12%, -12.5%, -7.2%, -24.3%, -12.0%, respectively

Shrunk by two-thirds

Even Ukrainian residents fled in large numbers

It is also difficult to maintain a per capita GDP of only $1,500

At one point it fell to less than $900

Inflation once reached an exaggerated 4734.91%

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

At the same time, international floating capital and foreign capital have a large number of high-quality Ukrainian assets and currencies

Minister of Economy, Trade and Agriculture milovanov of Ukraine said

Since 1999

Half of Ukraine's state-owned agricultural land was lost

Up to 600,000-700,000 hectares

The area is equivalent to the size of two Israels

And these "foreign forces"

It has also begun to continuously leverage the original political ecology of Ukraine

During Poroshenko's reign

The cabinet is not only full of foreigners

Even important positions such as finance minister are held by "foreigners"

Poroshenko's reason for this is to "learn from foreign experiences."

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Ukrainian Minister of Finance at the time, Yalesiko, had dual U.S.-Ukrainian citizenship

Under the economic guidance of foreign bureaucrats

Ukraine's inflation rate climbed rapidly to 48.7 percent.

The size of the economy is facing the largest contraction since the 90s .

Shrinking by nearly 10% over the entire 15 years

The financial sector is on the verge of collapse

Financial aid from the International Monetary Fund and Western countries became a lifesaver for the Ukrainian government

A large number of loans to "tear down the east wall to make up for the west wall"

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

And the borrowed money not only brings huge interest on debt

As a result, Ukraine is once again plunged into a sovereign debt crisis

It has also become a perfect excuse for the West to exert pressure on economic and trade issues to make profits

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

At the Ukraine-EU summit in October 2020

Borell, senior agent for Ukraine's foreign and security policy, said bluntly

"The EU has not aided Ukraine at all

Instead, Ukraine became the ATM of Europe."

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Ukrainian voters who are eventually tired of oligarchy

The greatest art of political satire of the century has been developed

The revenge elected Zelenskiy, a comedian, to be president

It also completely turned Ukrainian politics into a farce that is not worth it

Oligarchs fleeing Ukraine

Did the comedians come to power make the country better?

Apparently not

Under the rule of the political amateur Zelenskiy

Corruption in Ukraine is even worse

Engaging in anti-Russian activities and rendering the Russian threat theory has become the most stable cash flow

Aid money from the Eu is remitted in large amounts to high-level private accounts

Even army aid was sold directly for cash

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Even the understanding king could not look at it anymore

Daniel Gertemantsev, chairman of the Parliamentary Finance, Taxation and Customs Policy Committee of the Servants of the People, has said before

Corruption in the tax office has reached its "highest point"

Ukraine's budget costs $12 billion a year as a result

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

These treat anti-Russians as business

What about the well-earned oligarchs and parliamentarians in the face of Russian-Ukrainian tensions?

Russian Television Today and Ukrainian Pravda reported on the 13th

In recent days, one of Ukraine's richest people is "fleeing" Ukraine en masse

On the 13th alone, about 20 chartered and private planes took off from the capital Kiev

Including Ukraine's richest man, Rinat Akmetov

The second richest man, steel magnate Victor Pinchuk

Displayed in the data of the 24-hour flight radar website

As of the evening of the 13th, when the flight was out of service

The 100 richest people in Ukraine have "fled" 96 people

On the morning of the 14th, the Kiev House met

More than twenty members of parliament had to suspend the meeting because they were only present

It is said that more than half of the parliamentarians are infected with the new crown

But it was debunked by the media

It was because a large number of parliamentarians fled with Western diplomats to Lviv or abroad

At the same time, at least $12.5 billion of funds fled

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

As for Ukraine, which they left behind

Inflation has been above 10% since last July

Consumer prices also rose 10 percent for the full year last year.

The economic growth rate is not even 3%.

The currency continues to depreciate

Financial markets are locked down

Even have to admit the legalization of Bitcoin

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

At the same time, the new version of Ukraine's annual budget deficit in 2020 will reach 7.5% of GDP.

Government departments are highly corrupt, inefficient, grey economies are prevalent, and currency controls prevail

These are the reasons why Ukraine has been difficult to attract excellent foreign investment for many years

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

This group of officials is in the face of a decadent economic situation

The only thing that will be done is to raise the flag and preach the Russian threat

to cover up their own incompetence

Anti-Russian became politically correct in Ukrainian politics

After Russia and Ukraine drifted apart

The Soviet Union once left an energy transportation network that could earn money lying around

With a unique geographical advantage

It has also been worn away by decades of decades of economic decline

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

To this day

Russia and Ukraine officially went to war

The two sides eventually moved towards outright confrontation

I am afraid that Ukraine itself could not have predicted it

The Russia that it once used to use as a bargaining chip against the West

It was really necessary to come with the sound of cannon fire in the sky

Russia and Ukraine have started a war, the global plunge, the "granary of Europe" Why has the Ukrainian economy become a scorched earth?

Similar to the blitzkrieg eighty years ago —

That also took place in Kiev's unprecedented siege

The three armies swept across the Great Plains of Ukraine like a raging wind

Only this time

The soldiers turned against each other and became their own brothers

It is no longer the heroic Red Army soldiers who defend their homeland

It's just that this rise and fall is a war of suffering for the people

I don't know if it is the end of a mess in Ukraine

Or is it just the beginning