Ukraine should focus on reform of financial, energy sectors in 2016 - EBRD

In 2016, Ukraine's government should focus on continuing the reform of the financial and energy sectors, according to a report of the European Bank for Reconstruction and Development (EBRD) which has been posted on its website.

"It is necessary to further strengthen banking supervision to prevent lending to related parties, continue recapitalization of banks and simultaneously build a system for the settlement of non-performing loans," reads the report.

In addition, the corporate governance of Naftogaz needs to be improved while the company's deficit should be reduced by increasing tariffs for natural gas and heating, along with social security reform.

In addition, according to the bank’s experts, the government should continue to work on setting up a reformed, consolidated, and modern public service.

"This will allow for implementing the Four D plan of Ukrainian President Petro Poroshenko, which includes deregulation, de-bureaucratization, de-oligarchization, and decentralization," the EBRD said.