Business news from Ukraine

Business news from Ukraine

UKRAINIAN ADONIS MEDICAL COMPANY PLANS TO MORE THAN DOUBLE BED CAPACITY

The Adonis medical group of companies plans to more than double its bed capacity, Group Development Director Vitaliy Hyrin has said. “Now we have about 60 beds, including maternity hospitals. We want to increase the bed capacity to 150,” he said in an interview with Interfax-Ukraine.
Hyrin said that at present, for a private clinic, the optimal minimum number of beds for its full workload is from twelve, plus one operating room.
He also said that Adonis is studying development opportunities in the regions.
“This is definitely an interesting market, I believe that the Kyiv market is, give or take, saturated, although the number of residents of Kyiv is growing. The paying capacity of clients and patients is growing. In principle, we have something to do in Kyiv city and the region, but the prospects are definitely a market outside Kyiv region,” he said.
Adonis, a multidisciplinary medical center for adults and children, has been operating since 1997. Currently, Adonis has 10 branches in Kyiv city and the region, including a research laboratory and two maternity hospitals.

QUOTES OF THE INTERBANK FOREIGN EXCHANGE MARKET OF UKRAINE (UAH PER € 1, PERIOD FROM 01.03.21 TO 31.03.21)

Quotes of the interbank foreign exchange market of Ukraine (UAH per € 1, period from 01.03.21 to 31.03.21)

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UKRAINIAN POPULATION BY REGIONS AS OF dEC 30, 2020 (graphically)

UKRAINIAN POPULATION BY REGIONS AS OF dEC 30, 2020 (graphically)

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MACRO SUMMARY OF UKRAINIAN ECONOMY IN FEB-MARCH 2021

Fitch Ratings has affirmed Ukraine’s Long-Term Foreign-Currency Issuer Default Rating (IDR) at ‘B’ with a stable outlook, the agency said on its website.
Ukraine intends to increase the inflow of foreign direct investment (FDI) by 2025 to $15 billion per year, while at the end of 2020 their outflow amounted to $420 million, and in 2021 the National Bank predicts a recovery in FDI inflows at the level of $3 billion.
Ukraine in 2020 climbed from 80th to 63rd place in the Social Progress Index among 163 countries with score of 73.38 points versus 66.97 in 2019, according to the index data.
The Ministry for Development of Economy, Trade and Agriculture of Ukraine estimates the drop in GDP in January 2021 at 2.6-2.8%, according to the January review of economic activity in the country posted on its website.
The total public debt of Ukraine in February 2021 increased by 0.74% in U.S. dollars, to $ 91.41 billion and decreased by 0.21% in hryvnias, to UAH 2.552 trillion, according to data on the website of the Ministry of Finance. The ministry said the total national debt decreased in hryvnia equivalent by UAH 5.28 billion, mainly due to a reduction in guaranteed debt.
The Ministry for Development of Economy, Trade and Agriculture maintains its forecast for the growth of Ukraine’s GDP in 2021 at 4.6%, Minister Ihor Petrashko, has said, commenting on a statement by Deputy Head of the Office of the President Yulia Svyrydenko about the expected GDP growth of 5.1% in 2021.
The deficit of Ukraine’s foreign trade in goods in February 2021 fell by 47.5%, to $0.32 billion, while the deficit of foreign trade in January-February 2021 slightly grew – by 5.9%, to $0.6 billion
The growth of consumer prices in Ukraine in February 2021 accelerated year-over-year to 7.5% from 6.1% in January and from 5% in December 2020, the State Statistics Service said.
The total public debt of Ukraine in February 2021 increased by 0.74% in U.S. dollars, to $ 91.41 billion and decreased by 0.21% in hryvnias, to UAH 2.552 trillion, according to data on the website of the Ministry of Finance.
Prices in Ukrainian industry in February 2021 increased by 7.8%, while in January 2021 – by 5.2%, and in December 2020 – by 1.8%, the State Statistics Service said.
Industrial production in Ukraine in February 2021 decreased by 4.6% compared to the pre-COVID February 2020, and adjusted for the effect of calendar days (last year was a leap year), the reduction was noticeably smaller – 2%, the State Statistics Service said.
The lack of institutional regulation in the agro-industrial complex led to a decrease in agricultural production by 11.5% in 2020 compared to the previous year, and crop production fell by 13.6%, Minister of Agrarian Policy and Food of Ukraine Roman Leshchenko said during a discussion of the draft National Economic Strategy 2030.
The transport companies of Ukraine in January 2021 reduced carriage of goods by 2.2% compared to January 2020, to 42.8 million tonnes, the State Statistics Service has said.

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UKRAINIAN ECONOMIC COURT UPHOLDS PHILIP MORRIS’ APPEAL

The Pivnichny (Northern) Economic Court of Appeal upheld an appeal of CJSC Philip Morris Ukraine and Philip Morris Sales and Distribution LLC in case No. 910/17723/19, canceled the decision of the Kyiv Economic Court dated August 5, 2020, and canceled the fines for a total amount of UAH 1.18 billion imposed on them in 2019 by the Antimonopoly Committee of Ukraine (AMCU). According to the court’s decision, promulgated in the unified public register of court rulings, the Pivnichny Economic Court of Appeal ruled to invalidate paragraphs 1 and 11 of AMCU decision No. 697-r dated October 10, 2019 that concern the PMI group of companies, as well as invalidate paragraphs 3 and 4 of this solution.
In addition, the court ruled to collect UAH 14,400 of court fee from the AMCU in favor of OJSC Philip Morris Ukraine (the settlement of Dokuchayevske, Kharkiv region) and Philip Morris Sales and Distribution LLC (Kyiv).
The Pivnichny Economic Court of Appeal also ruled to return the materials of case No. 910/17723/19 to the Economic Court of the city of Kyiv.
The decision of the appellate instance entered into force from the date of its awarding.
As reported, the AMCU in October 2019 imposed a fine of UAH 6.5 billion on four tobacco producers and distributor Tedis Ukraine for anticompetitive concerted actions. Later, Philip Morris Ukraine paid a fine to the AMCU in the total amount of more than UAH 1.18 billion in order to avoid the accrual of penalties, but in February 2020, PMI submitted a notification to the Ministry of Justice of Ukraine that Ukraine had violated a number of obligations under investment protection agreements.
The companies of the Philip Morris International group on December 21, 2020 also filed a claim about bilateral investment arbitration against the government of Ukraine with the International Centre for Settlement of Investment Disputes (Washington, DC, the United States) in connection with the unfair, in their opinion, decision of the Antimonopoly Committee of Ukraine (AMCU) to fine them UAH 1.2 billion in the case of the wholesale distributor Tedis Ukraine.

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HIGH-RANKING EUROPEAN OFFICIAL: UKRAINE CAN BECOME EU MEMBER IF FULFILLS ASSOCIATION AGREEMENT

Ukraine, as a European country, has the right to become a member of the EU, but must first fulfill the Association Agreement and the reform program, a high-ranking European official has said.
“We are linked with Ukraine by the Association Agreement signed in 2014, including the Deep and Comprehensive Free Trade Area (DCFTA) Agreement, and now we must do everything possible to make it a success story,” he said, announcing the participation of Ukrainian Foreign Minister Dmytro Kuleba in a videoconference of EU foreign ministers.
He noted that this agreement has a huge potential in terms of the economy and social development of Ukraine, while Brussels and Kyiv should focus their efforts on its implementation.
“Ukraine is a European country and in this capacity it can become a member of the EU,” he told journalists.
“But this is not what is on the agenda right now. Today we are talking about the implementation of the Association Agreement, about holding reforms, about things that usually precede the process of joining the union,” the official said.
He said that on Monday Kuleba will join the video meeting of the foreign ministers of the EU countries and will talk with them for about an hour.
“The Ukrainian army has been constantly on alert for seven years, Ukraine spends 6% of its GDP on defense, which it more needs on other budget items,” the official stressed.
In his opinion, Ukraine will be able to move forward, overcoming the conflict in the east of the country and actively pursuing reforms. At the same time, the EU is ready to provide financial and economic support to Kyiv.
“We will continue to do this, because we see this as the only possible way to ensure that Ukraine is a truly independent, sovereign country,” the EU official said.

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