ANALYSIS OF INVESTMENT ACTIVITY IN THE AGRICULTURAL SECTOR OF UKRAINE, DETERMINATION OF FACTORS AND WAYS OF ITS ACTIVATION

Keywords: investing, investment, agriculture, agricultural industry, the agricultural sector

Abstract

The article is devoted to topical issues of determining the factors and ways to intensify investment activities in the agricultural sector of Ukraine. In the broadest sense, investments provide a mechanism to finance growth and economic development. If the state is interested in a stable and strong economy, it should be at the legislative and executive levels to create a favorable investment climate. The analysis shows that in all developed countries, the agricultural sector of the economy enjoys public support. After all, this industry has a direct impact on food security, which in itself is a powerful political argument in the world. The sharp decline in state funding, the lack of effective and reasonable credit system in agriculture tight fiscal policy, the increase in agricultural imports contributed to domestic agricultural producers have lost all sources of generation and accumulation of capital, which in turn have a negative impact on the industry, technology related to agriculture. Introduction of innovative resource-saving technologies, increasing the sustainability of production systems, reconstruction of irrigation systems, storage systems, electrification, combined with economic support through financial institutions, improving the investment climate in the country will promote small business in rural areas, food security. The current state of the investment climate in Ukraine foreign investors rated as unsatisfactory. Sector credit and banking services and does not show active interest in investment projects in agricultural production that in a lease underdeveloped led to a situation where the main source of investment financing are own funds of enterprises and organizations. A significant contribution to make to its investment potential factors accumulated during many years of economic activity: cultivation area infrastructure, innovation potential and intellectual potential of the population. Investment in agriculture is insufficient. High investment attractiveness of the industry is a key factor in increasing its competitiveness, ensuring high and sustainable economic growth.

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Published
2021-01-26
How to Cite
Tkachenko, S. (2021). ANALYSIS OF INVESTMENT ACTIVITY IN THE AGRICULTURAL SECTOR OF UKRAINE, DETERMINATION OF FACTORS AND WAYS OF ITS ACTIVATION. Economy and Society, (23). https://doi.org/10.32782/2524-0072/2021-23-3
Section
ECONOMICS