This was taken from the Free Real Time news Things are looking up in the Ukraine!
Ukraine, a former Soviet Republic with a population of 47 million, has enormous economic potential and an attractive geographic position between Russia and Europe.
A stable currency
GDP grew 7.1% last year despite a steep increase in imported gas prices since January 2006, Fitch said. The central bank is committed to the peg of the Ukrainian currency, the hryvnia, to the American dollar. Ukraine's economy attracted $5.3 billion in foreign direct investment in 2006, which is about 5% of GDP.
"Ukraine has been enjoying a strong influx of foreign direct investment over the past two years, offsetting the deterioration in its terms of trade caused by higher natural gas prices, and this resurgence in political instability may make foreign companies hesitant to commit to the country," said Rory MacFarquhar, analyst at Goldman Sachs European Economic Research.
"Over the longer term, we continue to see the country's economy as deeply undervalued, and expect asset prices to resume their rise," MacFarquhar said.
The PFTS index, a capitalization-weighted index of the most liquid stocks traded on the Ukraine PFTS Stock Trading System, closed down 0.2% Tuesday.
However, the index is up 62% year-to-date. In comparison, Russia's RTS index has edged up only 2.8% year-to-date.
The stock market has surged on increased foreign investor interest and new money flows, both foreign and domestic, Luhovyk said. Growth has been strong across the board, but the best performers are electricity, banking and steel stocks.
The bull may return
Good luck
Skeeziks
AI
