Investment Attractiveness Index

1
EBA
Investment Attractiveness Index
2
Project summary

• Methodology The EBA Investment Attractiveness
  Index is assessed as the mean value based on the
  following five questions
• What do you think about the investment climate in
  Ukraine?
• How would you estimate the investment climate for
  your company in Ukraine at the moment compared to
  the previous six months?
• What are your expectations of the investment
  climate in Ukraine over the next six months?
• In your opinion, would it be profitable for new
  entrants to invest in Ukraine over the next six
  months?
• What are your expectations of the business
  environment of your primary industry over the
  next six months?
• Participants 151 CEOs of EBA members companies
• Timing September, 3rd October, 2nd, 2008
• Survey Implementation the Survey was conducted
  by EBA with the support of InMind research company

3
Key findings
Value
Investment Climate in Ukraine
3,1
2,8
Investment Climate Dynamics last 6 months
General EBA Index
Investment Climate Dynamics Expectations next 6
months
3,1
3,1
Profitability for new entrants next 6 months
3,4
Investment Climate of Primary Industry next 6
months
3,3
4
Key findings

• Five-grade scale is used to evaluate the
  investment climate, where 1 stands for the
  lowest evaluation and 5 stands for the highest
  evaluation.
• The EBA Investment Attractiveness Index reaches
  3,1 on a 5 point scale. The obtained figure has
  the average meaning that indicates general
  evaluation of investment climate as stable with
  no significant worsening or improvement in the
  nearest future expected.
• The EBA Investment Attractiveness Index shows
  that the respondents are quite neutral in terms
  of the investment climate. Meanwhile the
  expectations for next 6 months are significantly
  more positive then the estimation of last half
  year period. It indicates that business in
  Ukraine is still believed to be relatively
  independent of the world economy given that so
  many experts did not see a deterioration.
• There is a trend to evaluate the investment
  climate in primary industry as well as
  profitability for new entrants slightly higher
  which means that the respondents are more
  optimistic regarding these issues compared to the
  investment climate in Ukraine in general.
• The lowest evaluation of investment climate can
  be observed in Production industries (2.9) while
  the highest in B2B services (3.4).

5
Key findings
(September, 3-7)
(September, 8-21)
(September, 29 October, 2)
(September, 22-28)
N33
N42
N26
N50

• There is also a trend of recession of EBA
  Investment Attractiveness Index as the subject to
  time of participating in the survey. It could be
  attributed to the integrated impact of world
  economics crisis and negative impact of political
  instability in Ukraine.

6
EBA IndexComponents
7
Investment Climate in Ukraine
The Investment Climate in Ukraine is definitely
favorable to investing
The Investment Climate in Ukraine is definitely
unfavorable to investing
The Investment Climate in Ukraine is rather
unfavorable to investing
The Investment Climate in Ukraine is rather
favorable to investing
The Investment Climate in Ukraine is neutral to
investing
Mean 3,1
N151
8
Investment Climate Dynamics last 6 months
Mean 2,8
N151
9
Investment Climate Dynamics Expectations next 6
months
Mean 3,1
N151
10
Profitability for New entrants next 6 months
Definitely not profitable
Definitely profitable
Rather not profitable
Rather profitable
Neutral
Mean 3,4
N151
11
Investment Climate of Primary Industry next 6
months
Mean 3,3
N151
12
General EBA Index by Primary Industry
EBA Index
3,1
N21
N20
N45
N29
N36
N151
The difference is statistically significant
13
Thank you!