48% of Ukrainian companies have already lost a significant portion of the proceeds

Almost half of the Ukrainian companies due to the introduction of quarantine measures in pandemic COVID-19 lost a substantial part of their income.

48% украинских компаний уже потеряли существенную часть доходов

This is reported by the European business Association, starting from the results of their study.

Almost half of companies (48%) have recorded a 20% to 50% loss of income. Another 16% made the decision about the change in salaries and wages, and 14% reduction of staff. Based on the survey results, now the business response to the decision of the Cabinet of Ministers will be as follows: 23% plan to reduce staff salaries, 17% – to reduce staff, and 6% – partially close business, while 23% do not plan any reduction or decrease, and 31% will be looking for new niches for development”, – stated in the message.

In the Association understand the situation which developed today in the world and the importance of restrictive measures in limiting the spread of the disease.

According to the Executive Director of the European business Association, the quarantine will impact the individual business and the overall economy.

“If the hard restrictive measures will continue for another month, the most pessimistic forecasts may be very optimistic. Because the margin of safety in companies is starting to wear thin, and small business it is not. Therefore, together with saving lives we need to think about saving the economy,” she says.

It is clarified that according to the forecast as a result of the quarantine of Ukraine’s GDP will shrink by 4%.

“The business community calls upon the authority to act in a balanced and make the decision given the long-term economic consequences. Because the cost of stopping the economy in a few months, can have devastating consequences for the entire population, according to experts, worse than the pandemic, and will take years to rebuild”, – stated in the message.