Kronospan Group, which has woodworking enterprises Kronospan UA (Volyn region) and Kronospan Rivne (Rivne region) in Ukraine, has invested more than EUR20 mln to establish a logistics center in Kalinovka village, Kyiv region, which was put into operation in May this year, said Natalia Pokinska, general director of Kronospan UA.
“In conditions of a full-scale war, disruption of logistics routes and other unfavorable conditions, we are investing more than EUR20 million logistics center near Kiev, the purpose of which is to receive road and rail freight from foreign Kronospan companies and our territorial divisions,” Pokinskaya said at the forum “FIT for Ukraine (Forum on Investments and Transformations): Furniture Cluster”.
According to her, the main stage of investments has been completed and the logistics center is currently located on 15 hectares of area, has facilities and capacities that it can provide to partners. Its construction was launched in 2019.
Pokinskaya emphasized that during 19 years of Kronospan Group’s work in Ukraine, the total volume of investments in the Ukrainian woodworking industry exceeded EUR900 million (both own funds and financial institutions, including the European Bank for Reconstruction and Development (EBRD)), and since the beginning of the full-scale war of the Russian Federation against Ukraine – EUR122 million.
She reminded that the construction of the plant in Rivne region, investments in which started in 2019 and where the first particleboard production line was commissioned in 2021, is one of the largest investment projects in Ukraine in recent years (more than EUR400 mln).
In total, more than 700 jobs have been created at the company’s enterprises.
Kronospan Group, established in Austria in 1897, today is a major global manufacturer of wood-based sheet materials. It includes more than 40 production plants in many countries.
Ukraine will receive a $1.5 billion loan from the World Bank (WB) under the guarantees of the Japanese government, Ukrainian Prime Minister Denis Shmygal said.
“Only the relevant agreement was signed by the World Bank and the Ministry of Finance during our meeting with World Bank Vice President Antonella Bassani,” Shmygal wrote in Telegram on Thursday.
According to him, the funds are envisaged to strengthen social protection, help people during the war and restore the economy.
The head of the Ukrainian government said that in total, the WB group together with partners mobilized $34 billion to help Ukraine, of which more than $22 billion has already entered the budget.
“We are especially grateful for PEACE in Ukraine, the largest investment project in the Bank’s history, which helps finance social payments and pensions. We appreciate our close cooperation and look forward to further joint projects for the reconstruction and development of Ukraine,” Shmygal wrote.
Forecast of dynamics of changes in ukrainian GDP in % for 2022-2025 in relation to previous period
Source: Open4Business.com.ua and experts.news
Ukrainian President Volodymyr Zelenskyy has signed a decree dismissing Vadym Prystayk from two posts. The corresponding document No. 442/2023 was published on the website of the head of state.
According to the text of the decree, Prystayko is dismissed from the post of Ukraine’s ambassador extraordinary and plenipotentiary to the United Kingdom of Great Britain and Northern Ireland and from the post of permanent representative to the International Maritime Organization (IMO) on a part-time basis.
Ukrainian President Volodymyr Zelensky has asked Prime Minister Denis Shmygal to replace Oleksandr Tkachenko as Minister of Culture and Information Policy.
“Budget expenditures during such a war are the maximum of state attention, which means that state resources should go to defense. And every project that can be realized with extra-budgetary resources should be realized with extra-budgetary resources,” he said in a video message on Thursday.
According to him, this applies to different spheres and, in particular, the field of culture.
“Museums, cultural centers, symbols, serials. All this is important, but now other priorities. Find extra-budgetary funds. Not of the state,” Zelensky said.
“I suggested to the head of the government two steps. The first is to find extra-budgetary funds for projects that you really need now. There are people in the world who can help. And the second, asked the Prime Minister to consider replacing the Minister of Culture and Information Policy of Ukraine,” he also said.
According to Zelensky, “people should feel that the resources of budgets are used fairly and correctly. Everyone understands what we are talking about. Paving stones, decoration of cities, fountains will wait. Victory first.”
The nationalization of Sense Bank (formerly Alfa Bank), launched on Thursday by the National Bank of Ukraine, will increase the share of state-owned banks in the total assets of the country’s banking system by 3.3 percentage points (p.p.) to about 56%, NBU head Andriy Pyshnyy said.
“This is not a critical indicator,” he said at a briefing on Thursday.
According to Pyshnyy, nationalization of Sense Bank will not be a problem in relations with the International Monetary Fund, which opposes increasing the share of state banks in the market, as the National Bank took such a step in order to ensure financial stability.
The head of the National Bank also said that the question about the possible future sale of Sense Bank should be asked to its future owner – the state represented by the Ministry of Finance.
“Of course, they will have to decide on its further strategy, given that Ukraine has committed to reducing the state’s share in the banking system. We believe that this issue will be relevant, as, in fact, in relation to any other state-owned bank”, – said Pyshnyy.
Last week, Deputy Economy Minister Sergei Sobolev said it was necessary to create a mechanism that would allow nationalized banks to quickly return to the private market in shares or as a whole.
Currently, four state-owned banks – Privat, Oschad, Ukrexim and Ukrgas – are among the top five largest banks in the market in terms of total assets. Their combined market share by this indicator amounted to 52.5% at the beginning of June, and in absolute terms – UAH 1.501 trillion.
In terms of total assets at the beginning of June – UAH 96.64 bln, or 3.4% of the total volume – Sense Bank ranked 11th in the market among 65 operating banks.
