Taxes and mobilisation: an expert names the main challenges for Ukrainian business

Barista in one of Odesa's coffee shops. Archive photo NikVesti

Danylo Monin, a macroeconomist and expert in tax and budget legislation, believes that the main problems facing Ukrainian business today are taxes and mobilisation.

This is stated in the NikVesti and Odesa Life article «Unconquered market: How is the war transforming business in the south?»

«Rising electricity prices, tax increases, the introduction of a military fee, and the return of the mandatory unified social contribution (USC) have increased the tax burden. Today, we can truly say that our country's economy is entering a state of stagnation. No one understands when the war will end and, therefore, cannot invest their money. Because of the uncertainty, everyone is switching to austerity mode, and this has a bad impact on small businesses,» said Monin.

According to Danylo Monin, the business situation in Mykolaiv region is distinguished by its proximity to the frontline and logistical problems, as the ports there have been closed for four years.

Statistics on the opening and closing of private entrepreneurs in the south in the first quarter of 2025. Infographic NikVesti

But Odesa region, says expert Danylo Monin, feels more economically confident because the seaports are operating there. This allows them to provide jobs for many people.

«Odesa region is currently the only sea gate of the country. The operation of ports there helps to create more jobs. I think this helps Odesa region to stand more confidently compared to other regions,» added Danylo Monin.

As a reminder, since the beginning of 2025, the number of closed sole proprietorships in Mykolaiv region has exceeded the number of newly established ones: almost a thousand entrepreneurs have ceased their activities in five months.