16.02.2023

Economy and war: Ukraine can produce certain types of ammunition and weapons

Ukraine has the ability to manufacture specific types of ammunition and weaponry. Furthermore, we have suitable areas where production data can be deployed.

Ilya Neskhodovskyi, the head of the analytical department of the National Interests Advocacy Network “ANTS”, stated this viewpoint.

“We are asking our partners to help with weapons and ammunition, and we also have to ask for equipment. We have cities that have a suitable natural landscape where such industries can be located, – says Ilya Neskhodovskyi. – We need machines and special military equipment to produce certain types of ammunition. All this requires special permits from manufacturers.”

According to him, such operations might be successfully camouflaged because russia lacks a sufficient number of relevant satellites to view what is going on on our land in detail.

“This enables you to conceal the relevant productions. It is worth remembering the experience of entire towns hiding during WWII.”

The expert emphasizes that such businesses would be a powerful economic support because our partners are currently providing us with significant financial assistance. As a result, US President Joe Biden’s administration is negotiating with Congress to authorize another $10 billion in direct fiscal help to Kyiv. Next week, another military aid package is scheduled to be announced. According to Neskhodovsky, these money will be deposited straight into the national budget.

“We had a 38-billion-dollar deficit. We fund our military needs through taxation, but we don’t have enough for other things like as education, medicine, and so on. As a result, the costs that are unrelated to the waging of the battle are shared by the partners. Yes, let me remind you that the European Union has allotted us 18 billion euros. Three of them have already arrived, and the rest will follow in later tranches. Because the costs of the war have increased seven times, these funds are a considerable help and will be a direct financial aid. We now spend as much in a month as we did in a year; on the one hand, we have a large increase in defense spending; on the other hand, economic losses due to military aggression totaled 30%. As a result, we must raise funds to pay the deficit.”

Based on the expert, the government should immediately reconstruct the economy along military lines and make sensible judgments in this situation.

“One of them is to enhance orders for our military equipment, which will encourage our economic component to develop as well. Because, in addition to surviving on its own, the company is currently dealing with issues such as tax invoice blockage.”

And added:

“By the way, we frequently say that people have moved abroad, and as a result, some of them do not intend to return to Ukraine for a variety of reasons, including destroyed housing, a lack of work, and a lack of social infrastructure, but businesses also relocate abroad, choosing Poland, Germany, the United States, and so on. And it is important to remember that not all businesses will return: they will adapt to new conditions, to a more favorable business environment.”

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