Tools of local economic development to support business in the conditions of war and deepening European integration of Ukraine

Анотація

The goal is to generalize and characterize the tools of local economic development, identify business problems in the conditions of martial law, and also find possible ways to support business in the conditions of deepening the European integration of Ukraine. To achieve the goal, the synthesis method was used to generalize modern tools of local economic development that are used in Ukraine and the countries of the European Union. Statistical analysis was applied to study the state and needs of business under martial law conditions, including the analysis of the problem of business relocation, changes in the scope of business activity, and the use of support opportunities provided by territorial communities and regional state (military) administrations). It was determined that the changes formed under the influence of the war significantly affect local economic development and business, in particular, the level of the Business Activity Index at the beginning of August 2022 was estimated at 25.16 out of 100 possible points; 39.9% of enterprises have stopped or almost stopped their activities, and the average expected result of the business's sales products according to the results of 2022 is estimated at the level of 50%. Regarding the business's own revenue forecasts for 2022 compared to 2021, it was noted that 20.5% of enterprises have a revenue forecast at the level of 50-80% of the level of 2021, and 20.5% - up to 20% of the revenues of the previous period. Meanwhile, according to the survey, 76.1% of Ukrainian business representatives do not interact with representatives of administrations and territorial communities. It was concluded that the European Union can already help Ukrainian business through the spread of such local development tools as employment support and financing of the voucher system. The practical significance lies in the further development of research into the tools of local economic development to support business in the conditions of martial law and further European integration of Ukraine.

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