Inclusive development of Ukrainian regions: assessment, rankings and prospects

Abstract

The paper presents the results of scientific research «Structural change as a basis of inclusive economic development of Ukraine» in terms of regional aspects. The concept of inclusive economic development is a new paradigm which can substitute traditional and outdated approaches to social and economic development measurement (as GDP for example). Leading international organizations and institutions conduct studies on different aspects of inclusiveness, such as: OECD, United Nations Development Program (UNDP), the European Commission, International Monetary Fund (IMF), World Economic Forum (WEF), World Bank, International Policy Centre for Inclusive Growth (IPC-IG). In the presented scientific paper, the regional aspects and trends of inclusive economic development are brought to a focus. An analytical overview of the most representative and important international indices and ratings, relevant to the subject of study, which contain Ukrainian data, is presented. Among the most important indexes are: The Legatum Prosperity Index, The Global Competitiveness Index, The Global Innovation Index, Index of Economic Freedom, Doing Business Index etc. Also authors present approaches to assessing the level of Ukrainian regions’ inclusive development in the context of sustainable development goals (SDG). The methodology is modified by the authors on the ground of the Inclusive Development Index (by World Economic Forum). Inclusive Regional Development index of Ukraine (IRD) developed and presented by authors makes it possible to assess the regional characteristics of the seven key socio-economic areas: Economy, Business, Education, Health, Security & Defense, Environment, Social Capital. The key problem areas are identified. Directions of State structural policies are suggested to achieve the goals of inclusive development based on regional characteristics. The authors identified key problems and justification to promote the regions towards inclusiveness and sustainability.