The existing model of economic development of Ukraine has run out of steam and requires urgent replacement, one of the founders of the Ukrainian Business Initiative Serhiy Taruta said at the 26th Economic Forum in Krynica (Poland).

"The main mistake during defining the economic strategy for further Ukraine's development is an attempt to conduct reforms without radical changing the existing economic development model. The course of stabilizing the economy is pointless without changing the system. Only a splash economic growth can save Ukraine. There are opportunities for this growth," he said.

The European Union (EU) could help Ukraine to implement a plan to restore the economy in 2017-2030 on the basis of re-industrialization and a broad application of innovations. The implementation of the plan would allow Ukraine to reach GDP of around $500 billion by 2030.

According to some economists, the successful realization of the new economic growth model would require only around $250 billion of foreign direct investment (FDI) or some $16.5 billion a year.

"This figure for investment looks realistic. Ukraine must draft a strategy for which Europe would be ready to provide an investment resource. This must be an action plan acceptable for European administrations and business structures. We want Europeans to participate first in the examination of the strategy and then supervise its implementation," Taruta said.