FINANCING OF CONSTRUCTION ENTERPRISES OF UKRAINE IN THE CONDITIONS OF CURRENT CHALLENGES
Abstract
The article examines the current state of financing and the peculiarities of the development of the domestic construction sector in wartime conditions. It was found that during global challenges, such as the corona virus epidemic and full-scale war in the country, the state of financing of construction enterprises worsened due to unprofitable operations, the growth of uncovered losses and, accordingly, the negative amount of equity capital. It has been established that construction and contracting organizations finance their activities mainly at the expense of borrowed funds, namely current liabilities and guarantees, and due to high interest rates and credit risks, they do not actively resort to bank lending today. The key determinants of the micro- and macroenvironment have been determined directly affect the structure of financial capital of construction enterprises. Summarized the main factors caused by the war, which negatively affect the activity of construction enterprises and the state of their financing. In particular, this is a change in logistics routes and an increase in energy costs; rising prices for construction materials; shortage of certain types of construction materials and construction products, a difficult situation with working capital and reserves that are quickly depleted; low market demand; forced shutdown of many construction sites for an indefinite period, etc. The main macroeconomic directions of promoting the development of the construction business and increasing its profitability have been determined, such as: a transparent program of post-war reconstruction of the country, active involvement of international partners in it; lowering the price of mortgage loans; stimulation of innovative technologies to reduce the cost of projects; solving problems with the logistics of supplying basic building materials; transparent government policy for developers and investors; stimulation of public-private partnerships for housing restoration, etc.
