A state-led war economy in an open market: investigating state-market relations in Ukraine 2021-2023

How the state is interacting with markets is a key consideration in the context of the conflict in Ukraine. A critical question concerns whether the state can develop the capacity to correct market failures in order to support the security and wellbeing of the population and answer the challenges of the on-going war. This research report seeks to address this question by investigating the relationship between market and state in the contemporary Ukrainian economy. The report is published as part of a collaborative partnership between Ukraine Industry Expertise and PeaceRep’s Ukraine programme. It builds upon previous work that demonstrated how Ukraine had a range of in-country assets that could be mobilised to ‘insource the recovery’ through the adoption of policies designed to support and maximise domestic output.