The American Chamber of Commerce in Ukraine (AmCham) has called on the Cabinet of Ministers and law enforcement agencies of Ukraine to intensify efforts to combat the shadow economy in order to ensure budget revenues and fair competition.
“There is still a significant level of shadow markets. The voice of business must be heard – all individuals and legal entities operating in Ukraine should pay their fair share of the taxes currently in effect. Eliminating shadow markets will not only ensure a level playing field but also enhance the country's investment attractiveness,” - states the association's statement on its website on Thursday.
According to the publication, AmCham has been systematically addressing the issue of combating shadow markets across various sectors of the economy for a long time.
Referring to the research on the shadow economy by sectors, the Economic Expert Platform, AmCham emphasizes that positive changes are evident, particularly the decline in the level of illegal markets for certain excise goods.
As noted in the study itself, the level of illegal tobacco production in Q3-2024 has decreased to 18% compared to 26% in the previous quarter and 32% in Q1-2024.
Additionally, throughout this year, the level of shadow in the alcoholic beverages market has decreased: it was 40% in Q1, 35% in Q2, and down to 22% in Q3-2024.
Meanwhile, in the fuel market, the level of shadow has continued to rise for the third consecutive quarter, reaching 18% (13% in Q1-2024 and 14% in Q2).
“The business community is grateful for the efforts and leadership in this fight to the members of parliament, law enforcement, and fiscal authorities. Thanks to joint efforts, over the 10 months of 2024, it has been possible to secure revenues to the State Budget amounting to 1.67 billion US dollars from de-shadowing,” - AmCham concluded.