The Resource Governance Index (RGI) for 2017 estimates how each of the 81 countries having rich natural resources, manages its reserves of oil, gas and minerals.
The complex indicator of the Index consists of three components. Two of them measure the output of the industry – use of resource potential and revenue management, and the third one covers the broader context of the governance – favorable environment. These three governance dimensions consist of 14 subcomponents, which are calculated on the basis of the analysis of information in open sources and answers to 149 questions.
Independent researchers working under the control of the Natural Resource Governance Institute (NRGI) in each of the 81 countries completed a questionnaire to collect initial data on the use of resource potential and revenue management. As for the third component, the Resource Governance Index receives information from other sources – from more than 20 international organizations. The evaluation covers the period of 2015-2016.
The oil and gas sector of Ukraine received only 49 out of 100 points and ranked 44th among the 89 countries estimated according to the Resource Governance Index (RGI) in 2017. Among the nine countries of the Eurasian region – after Mongolia, Kazakhstan and the Kyrgyz Republic. Ukraine's performance is the best in such component as the use of resource potential with a satisfactory score (61 out of 100 points) and the worst in the context of revenue management (40 out of 100 points). Favorable environment as a component of the Index in Ukraine is estimated at 45 out of 100 points, which is conditioned by political instability and lack of results in the fight against corruption.
You can find out more about the Index and why Ukraine has taken such a place in our analytical materials below: