Over the past few years, the government of Kazakhstan has made strides in creating a more attractive business environment for foreign investors. Despite improvements, there still exist a number of obstacles that lead to persistent reputational risks, which continue to hamper FDI.
Historically, the use of bribery, rent-seeking, and opaque intermediaries was so entrenched in Ukraine's gas sector that they are essentially the lubricants that run the industry. Has anything changed?
Ukraine has had a weak businesses climate since independence. The main problems include corruption, bureaucracy, and the complex and selective nature of the judicial system. The real obstacles to reform are multi-faceted and require a reform-minded government willing to take political risks and stand up to vested elite interests.
Foreign entities who currently or have previously invested in Russia in the past are aware of the various challenges they face, such as corruption, arbitrary enforcement of laws, and state bureaucratic procedures. While many of these issues remain a concern – and show few signs of abating – operating under the new era of sanctions have led to new challenges.