PUBLIC ADMINISTRATION TOOLS FOR RECOVERY OF THE MILITARY ECONOMY

Abstract

The article is devoted to analyzing the unprecedented condition of Ukraine’s economy during its history. A full-scale military invasion is substantially damaging the domestic economic system. The production of the main types of products has decreased substantially, and Ukraine's export cased the most. Blocked ports and transport routes paralyze the state's foreign trade, causing a critical shortage in the state budget. Continued hostilities in the East of Ukraine contribute to a sharp escalation of the domestic and global food crisis. Transport and logistics, social, marketing, and engineering infrastructure of entire regions are being destroyed. Nine most affected regions used to contribute 30% of Ukraine's GDP. Ukraine is experiencing massive reductions in its economically active population, civilian casualties in hostilities, shelling, forced deportations, stays in occupied territories, emigration, and temporarily displaced to the western regions of the country, challenging to employ locally. During wartime, the state needs temporarily move to virtually manual management of the economy, quickly determining the priority of the state support areas. The present stage task for Ukraine is to intensify economic processes in territories of hostilities and focus on supporting production and transferring it to relatively safe regions. At the same time, the state should stimulate the reorientation of the economy to the army support, provide defense, rebuild and maintain infrastructure, ensure food security and create practical steps to rebuild the economy during the war and postwar period. Reconstructions of the postwar Ukrainian economy following the Marshall Plan example are already being worked out for their possible implementation. Still, specific measures and exact directions of influence will depend on the war's outcome. Several proposed measures may be the basis for the postwar economic reconstruction of the state.