Ukraine

Business

Journal

11:03 AM Tuesday, October 16, 2018
UBJ.am
UBJ.am Friday, May 18
Car imports growing; IMF mission back in Ukraine; EU to invest in development projects; Ukraine –Germany trade showing good results; Ukrainian diaspora business forum opens.
image/svg+xml Kyiv Lutsk Rivne Zhytomyr Lviv Ternopil Khmelnytskyi Uzhgorod Chernivtsi Vinnytsia Chernigiv Sumy Kharkiv Poltava Cherkasy Kirovohrad Lugansk Dnipropetrovsk Donetsk Zaporizhzhia Mykolaiv Odesa Kherson Simferopol Sevastopol Ivano- Frankivsk

31% rise in imports of passenger cars in Q1, y-o-y, reaching 51,200 units. The value was estimated at $665.7 million, the Ukrautoprom Association's press service said. Germany remained the main source, accounting for 8,120 cars worth $81.3 million. The U.S. was second - 4,843 cars, worth $58.5 million; Japan ranked third with 3,891 cars ($67.6 million), and France fourth with 3,838 cars ($17.3 million). Mexico shipped 2,533 passenger cars to Ukraine, with a total customs value of $19.7 million, and became supplier number five.

IMF mission examining state of market for asset management in Ukraine and the legislative and normative base regulating this segment. The technical assistance mission of the International Monetary Fund (IMF) began its work on 16 May, UNIAN reports.

IMF lists eight key reforms vital to accelerate Ukraine’s economic growth. According to the IMF Resident Representative in Ukraine, Goesta Ljungman, they are: the restructuring of the National Bank of Ukraine as an institution, cleaning up the financial sector, changes in the public finance management and tax administration, pension and energy sector reforms, privatization, fighting corruption and land reform. “Robust and efficient government institutions are key in securing sustainable economic growth as proved by acclaimed research,” he elaborated, Ukrinform reports

EU intends to invest more in specific development projects in Ukraine.Until now, the EU has channeled funds primarily to support reforms in Ukraine, but is embarking on a new stage of investment in people and infrastructure. According to the Head of the Support Group for Ukraine at the European Commission Peter Wagner, “About EUR 200 million has been allocated annually to Ukraine from the EU’s budget….As more reforms are moving forward, the need for their financing decreases, and now we are approaching a new stage of investment: investment in people and infrastructure," Ukrinform reports.

EBRD selects US agency to assist with developing system of warehouse receipts. The European Bank for Reconstruction and Development (EBRD) has selected the National Law Center for Inter-American Free Trade (NatLaw) on the basis of a tender competition as an external adviser for the development of the warehouse receipt market in Ukraine. This will cover the development of appropriate legislation, certification and standardization of activities of depositories, the formation of guarantee funds, improving effectiveness, etc.The system of warehouse receipts is crucial for the efficient functioning of commodity exchange markets and is currently used in Ukraine only in the agricultural sector,reports.

Ukraine-Germany bilateral trade reached $8.1 billion in 2017. Germany has become one of Ukraine’s largest trading partners and investors, First Vice Prime Minister and Economic Development and Trade Minister Stepan Kubiv said at an international conference on Ukrainian-German relations, Ukrinform reports. German investments amounted to $1.8 billion in 2017. Projects for production of components for German automotive industry take first place employing about 4,500 people in various regions," Kubiv elaborated.

Fruit and berry harvest in 2018 could exceed the last year figure by 10-30%, Chairman of the Ukrsadprom association Dmytro Kroshka announced. The weather is the main risk factor. “At present, the leader in planted areas in Ukraine is black currant – around 50% of all areas of agricultural companies. Strawberry occupies 20-24% of the market and raspberry – 13-14%. Areas with blackberry occupy 13% of total areas, according to the State Statistics Service, while other sources said that it is 24%,” Europe remains the most popular market, but Ukraine is also interested in the Middle East, and the markets of neighbouring countries, in particular, Belarus.

Good prospects for shipbuilding, if parliament supports. Ukraine’s shipbuilding and ship repair industries have good prospects for development due to cheaper metal, labor and electricity, but serious investments are needed, and wages will have be raised to stop the departure of skilled workers.The Chairman of the parliamentary subcommittee for maritime and river transport Oleksandr Urbansky told Interfax-Ukraine that everything depends on relevant amendments in the legislation being adopted, and the adoption of a draft law on inland water transport that could become a catalyst for the development of shipbuilding in the country.

Ukrainian airlines records increase in volume of passengers. In January-April 2018, passenger traffic grew by 15.4% y-o-y, the State Aviation Service reports. It amounted to 2.989 million people. International passenger traffic increased by 14.9% and amounted to 2.671 million people." Passenger traffic through the country’s airports rose by 23.7% and amounted to 5.122 million people, in particular on international routes, where it grew by 24.5% and amounted to 4.479 million passengers. During the first quarter of 2018, January-April 2018 Ukrainian airlines carried out 26,900 commercial flights (an increase of 6.5% compared y-o-y), in particular 22,100 international flights (an increase of 4.2%).

President acknowledges need to develop Dnipro airport.President Petro Poroshenko supports the idea of building a modern airport in Dnipro and turning the city into an airline hub. He said this during a working trip to Dnipro, Ukrinform reports. "We should do everything possible to attractinvestors, buildthe airport, making Dnipro a real airline hub, using funds from the local and state budget to carry out a complete overhaul of the takeoff runway and to give Dnipro the opportunity to have a high-quality and efficient airport just like Kyiv, Lviv, Odesa, and Kharkiv have," he said.

Ukrainian diaspora business forum opening in Kyiv. The First Ukrainian Diaspora and Foreign Friends of Ukraine Business Forum is being held in the Ukrainian capital on 18-19 May, 2018 under the slogan «Ukrainians of the World – for Ukraine». Its aim is the development of Ukrainian business ties with Ukrainian businessmen abroad, attracting support in export of Ukrainian products and services to external markets.

We recommend
Uklon taxi’s into Africa; Solar cools; 44 gas fiel...
Editor Jul 27, 2018
Ukraine and US join forces against Nord Stream 2;...
Editor Jul 26, 2018
Ukraine close to finalizing IMF deal; Trade with I...
Editor Jul 25, 2018
--> --> -->