What's happened
Ukraine's agriculture sector is facing challenges amidst the war with Russia. Businesses are evading taxes, leading to a reduced tax take for the government. The population decline due to emigration has shrunk the domestic food market, while Russian attacks on infrastructure and equipment have driven up costs.
Why it matters
The situation in Ukraine's agriculture sector is critical, with businesses exploiting chaos to evade taxes, impacting the economy negatively. The population decline and Russian attacks on infrastructure are further exacerbating the challenges faced by the sector, affecting food security and economic stability.
What the papers say
The Economist reports that businesses in Ukraine are taking advantage of the war to evade taxes, leading to a reduced tax take for the government. The population decline and Russian attacks on infrastructure are highlighted as additional factors affecting the agriculture sector.
How we got here
Since Russia invaded Ukraine in 2022, the country's economy has shrunk by a quarter. The war has not only caused economic devastation but has also led to businesses exploiting the chaos to evade taxes. The agriculture sector, previously a significant contributor to Ukraine's exports, is now grappling with challenges due to the war.
More on these topics
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Ukraine is a country in Eastern Europe. It is the second-largest European country after Russia, which borders it to the east and northeast.
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Russia, or the Russian Federation, is a transcontinental country located in Eastern Europe and Northern Asia. Covering an area of 17,125,200 square kilometres, it is the largest country in the world by area, spanning more than one-eighth of the Earth's in