The first pilot survey was conducted on April 19-24 by Institute of Business Freedom (IBF) and covered 182 entrepreneurs. The results showed that the worst situation for Ukrainian business is related to 5 areas: efficiency of judiciary (-4.22), corruption (-4 19) credit availability (-3.85), government support (-3.74) and over-regulation of the control system (-3.61). If the index is determined based only on these indicators, it would have concluded to “-3.92”.
The highest results with the sign “+” were shown in areas that belong to the competence of entrepreneurs (education level of staff, marketing use, information technology, etc.), although they do not exceed point “1”. The government has received only one positive mark, which is “easiness of business registration” – + 0.41. At the same time, “the elimination of business” in Ukraine is not easy at all (-3.3).
Entrepreneurs are experiencing acute shortage of information and support from the central and local authorities concerning business development opportunities. This applies to programs implemented in Ukraine by international institutions (-2.82). Paradoxically, but if not for the deficit, which indicates an active independent research of businessmen to find the way out of the crisis, the background of low expectations solvency of the domestic market (-2.36) could probably be described as “depression”.
“We did not expect the first pilot index to be a sensation, – IBF President Jaroslav Hobta says. – It is important that the Index, as shown by the results, most entrepreneurs had developed as a balanced scorecard. It is regular and we are now working on its improvement and expansion. The main objective of the Index is to give businesses a simple and affordable tool for independent assessment of the business climate in Ukraine. And if the government really wants to improve the business environment in the country, and not to be engaged in populism and demagogy, then the Index should be one of useful markers for it. ”
The “Index of freedom and opportunities of entrepreneurship in Ukraine” initiated and implemented by the Institute of Business Freedom (www.ibf.com.ua) – Ukrainian public organization, that has experience of implementation of such projects since 2002. The Index, which partners are prominent companies and NGOs, is supported by the Public Councils MEDT and DRS. Methods of forming Index are surveys conducted by Ukrainian entrepreneurs through the IBF website, Facebook and e-survey for the target audience. The Index is formed by 25 factors – 5 blocks and 5 questions in each. In 2016 IBF is planning on making 5 waves of the survey.