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The modern Ukrainian economy is characterized by significant transformational processes that are accompanied by a transition from heavy industry to the agro-industrial sector. In recent years, traditional key domestic industries with high added value in production have substantially lost their positions in the domestic and foreign markets. Especially acute the crisis phenomena are observed in the areas that are involved or are bordered by the area of the armed conflict. Before the beginning of hostilities in the East of Ukraine, Luhansk region was among the five most powerful industrial and economic regions of Ukraine. Now the region has turned from industrial to agrarian. Therefore, the matter of analysing the impact of post-conflict transformation processes in Ukraine on the region’s economic development and identifying the reasons that hinder transformation in the areas of post-conflict transformation is relevant. The article assesses the impact of military actions in the east of Ukraine on the economic performance of the industry in the region. The modern problems of Luhansk region industrial enterprises development are determined. According to the results of the macro-environment factors PEST analysis of the industrial enterprises in the region the main measures to overcome the crisis phenomena in the region’s economy are determined.

Contemporary economic development challenges of the industry in luhansk region