Changes in consolidated budget expenditures in 2014-2022 (%)
NBU
International hotel operator Accor Live Limitless (France) opened apartment hotel Adagio Kyiv Beresteiska, general director of Accor Northern Europe – Ukraine, Georgia and CIS region Andrey Davidenko told Interfax-Ukraine news agency.
“At Adagio Kyiv Beresteiska, sales are open from December 29, 2022. Now is the soft opening period, not all works are 100% finished, by January 9 we plan to open the restaurant. ibis Kyiv Beresteiska will not open until the war is over,” he said.
Both hotels are located in one building on the Victory Avenue, 55, in Adagio Kyiv Beresteiska 105 rooms, in Adagio Kyiv Beresteiska – 156.
Adagio Kyiv Beresteiska is an apartment hotel, and the rooms are adapted for longer stays: they have fully equipped kitchens, special work spaces, WIFI and other amenities for work and rest. According to Davidenko, there are already clients, who have chosen the hotel for a long stay; there is also a possibility to rent a room for a short term.
As it was reported, the international hotel operator Accor Live Limitless was planning to launch three new hotels in Ukraine in 2022-2023, ibis & Adagio Kyiv, ibis Lviv and Novotel Lviv. A 77-room ibis Styles Lviv Center hotel, located in the business center of Lviv on Shukhevicha Street, 3, began operations in December 2022.
In addition, the Black Sea Trade and Development Bank intends to provide a EUR 8 million loan for the construction of a 4-star hotel Novotel with a room capacity of 128 rooms in Lviv to Real Estate Development Center LLC.
“Now it is very difficult to talk about any timeline for Novotel Lviv, perhaps at the end of 2024 we will open. Everything depends on the end of the war,” Davidenko told Interfax-Ukraine.
Accor Group – one of the leading hotel operators in the world – opened the first hotel under the brand Novotel in Lille (France) in 1967.
Accor, as of December 2022, had more than 5.3 thousand hotels, resorts and residences in 110 countries under more than 40 brands (Raffles, Sofitel, Fairmont, OneFineStay, MGallery, Pullman, Swissotel, Grand Mercure, The Sebel, 25 hours hotel, Novotel, Mercure, Adagio, Mama Shelter, Ibis, Ibis Styles, Adagio success, Ibis Budget, Jo & Joe, hotelFormule1, hotel F1, Thalassa sea & spa, greet and others).
Accor SA shares are listed on Euronext in Paris and traded over-the-counter in the U.S. market.
In Ukraine AccorHotels manages 3-star Ibis hotels in Kyiv, Ibis Styles and Gruner in Lviv, 5-star Fairmont Grand Hotel in Kyiv, as well as Mercure Kyiv Congress Hotel. In addition, one hotel managed by Accor is located in Odessa – MGallery Hôtel de Paris.
Banks issued 4.42 thousand concessional loans under the state program “Affordable loans 5-7-9%” for UAH 10.27 billion in the last month of 2022, which is 21% or UAH 2.2 billion more than in November 2022, the Ministry of Finance said on its website on Monday.
According to its data, 1.66 thousand such loans worth 8.1 billion UAH were issued in November.
The Ministry of Finance specified that since the start of the program “5-7-9” business entities have received 52.85 thousand loans totaling 165.77 billion UAH from authorized banks, of which almost 34 thousand – from banks in the public sector for a total of 66.26 billion UAH.
It is noted that during the martial law in Ukraine as part of the state program 18.03 thousand loan agreements totaling 76.15 billion UAH (including 13.52 thousand by public sector banks for 39.62 billion UAH) were concluded.
According to the published data, the most credits were granted for war purposes – 38.35 billion UAH, 0.82 billion UAH of credit means were given to entrepreneurs for investment purposes, 6.34 billion UAH were allocated as anti-crisis credits, 4.38 billion UAH were given as refinancing of already received loans and 25.74 billion UAH were loans for agricultural producers.
As reported, the state program “Affordable credits 5-7-9%” with compensation of interest rates by the state was initiated in February 2020 to support projects of Ukrainian micro and small enterprises. Provision of three possible rates – 5%, 7% or 9% – on loans depends on the size of the business and the period of its operation. At the end of October last year the Cabinet of Ministers made changes to the conditions for granting loans under the program “Affordable credits 5-7-9%” and allowed to involve private entrepreneurs with annual income up to UAH 50 mln), also it became possible to fully compensate the rate.
Now 45 banks work with the program “Affordable credits 5-7-9%”.
As the National Bank reported in its Financial Stability Report in late 2022, the prevalence of programs with up to zero rate compensation, rising market interest rates and rapid portfolio growth have significantly increased the government’s financing costs for the program: more than 9 billion UAH must be paid this year instead of the planned 3 billion UAH, resulting in a government debt of 2.6 billion UAH as of early November, which is equivalent to two months of interest compensation and has kept banks from further using the program.
“In conditions of war, government support is a guarantee of business access to credit. So the weighty role of the program will remain in 2023. Since expanding the program will require additional resources, its design should be optimized. Most businesses have already adapted to the war and have resumed production, so an increase in rates should be considered. A separate design is needed for the program for agricultural producers, given the difficulties with the sale of crops due to the destruction of logistics,” pointed out the National Bank.
According to statistics from the NBU, if at the end of 2020, loans provided by the program “5-7-9”, took 5% of the net corporate portfolio of hryvnia, then at the end of 2021 – 18%, and as of December 2022 – 26%.
In turn, head of the Ministry of Finance Serhiy Marchenko reported that the state budget-2023 provides for 14 billion UAH for the program.
Investors are waiting for German economic data to be published later on Tuesday.
The Stoxx Europe 600 composite index of the region’s largest companies had risen nearly 1% to 433.12 points by 10:24 a.m. Ksk.
Germany’s DAX stock index rose 0.6%, France’s CAC 40 gained 0.45% and Britain’s FTSE 100 gained 1.55%. Italian FTSE MIB and Spanish IBEX 35 were up 0.4%.
Energy company Uniper and tour operator TUI were the leaders among Stoxx 600 components which rose in price by 12.2% and 6.1% respectively.
In addition, the value of securities of oil companies BP Plc, Shell and TotalEnergies increases by 3.9%, 4.5% and 1.2%, respectively.
In Germany, shares of Adidas (+2.4%), Siemens Energy (+1.4%) and BASF (+1.2%) rose in price.
In France, bank stock prices are rising, including Societe Generale (+1.5%), BNP Paribas (+1.5%) and Credit Agricole (+1.2%).
Changes in revenue of consolidated budget in 2014-2022 (%)
NBU
Tuesday the U.S. dollar is almost stable against the European currency and is declining against the yen.
The DXY index, which shows the U.S. dollar value against the six major world currencies, added 0.1% during the session. At the same time, indicator WSJ Dollar, which tracks the movement of the dollar against 16 currencies, dropped by a similar amount.
The euro was trading at $1.0664 against $1.0668 at the end of the previous session.
The value of the single European currency is now around 138.81 yen, compared to 139.46 yen on Monday. The dollar exchange rate is 130.18 yen against 130.74 yen at the end of the previous trading day.
The pound is trading at $1.2069 compared to $1.2048 on the previous trading day and the euro is at £0.8835 compared to £0.8856.
The euro gained 8.8 percent against the dollar in the fourth quarter of 2022, according to Dow Jones Market Data. This was the highest quarterly gain since 2010.
Meanwhile, the DXY index showed a 7.7% drop in October-December, the biggest decline in twelve years. That didn’t stop the indicator from ending 2022 on the plus side: it was up 7.9%, the highest gain since 2015.
