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Historically, the fertile black soil of Ukraine generated more than a quarter of Soviet agricultural output, and its farms provided substantial quantities of meat, milk, grain and vegetables to other Soviet republics.
Ukraine's dependence on Russia for energy supplies and the lack of significant structural reform have made the Ukrainian economy vulnerable to external changes. Embedded corruption and resistance to economic reform within the government and the legislature have held up efforts to implement a legal framework for privatisaton. Ukraine depends on imports to meet about three-quarters of its annual oil and natural gas requirements and 100% of its nuclear fuel needs. In January 2009, after a two-week dispute that saw gas pipeline supplies to Europe cut off, Ukraine agreed to 10-year contracts with Russia for gas supply and transit that had the effect of bringing gas prices to 'world' levels.
The economy contracted nearly 15% in 2009, among the worst economic performances in the world. In April 2010, Ukraine negotiated a discount on the price of Russian gas imports in exchange for extending Russia's lease on its naval base in Crimea.
Key facts
* Currency: hryvnia (£1= 16.5 hryvnia, 1€=13.6 hryvnia)
* GDP per capita: 5,375€ (end 2013 estimate)
* Unemployment rate: 8% (2013 estimate based on those officially registered; there are however large numbers of unregistered or underemployed workers)
* Inflation: 0.7% (end 2013)
* Natural resources:
natural gas, coal, oil, arable land, timber, rich variety of minerals
Industries and exports
* Agriculture - products: grain, sugar beets, sunflower seeds, vegetables; beef, milk
* Industries: coal, electric power, ferrous and nonferrous metals, machinery and transport equipment, chemicals, food processing
* Industrial production growth rate: -5% (2013 estimate)
* Exports: ferrous and nonferrous metals, fuel and petroleum products, chemicals, machinery and transport equipment, food products
* Leading export markets: Russia 25.6%, Turkey 5.4%, Egypt 4.2% (data from 2012)
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