The Norwegian government has signed an agreement with the World Bank’s Eastern Europe Regional Office to allocate NOK 1 billion to the World Bank’s Trust Fund for the Revival, Rehabilitation, Reconstruction and Reform of Ukraine, the Norwegian government press office said.
“There is an urgent need to repair the electricity system and other infrastructure in Ukraine after the Russian bombing of civilian facilities. I am glad that today we have signed an agreement to allocate 1 billion Norwegian kroner to carry out repairs quickly,” Foreign Minister Anniken Huitfeldt said.
It is noted that the World Bank is using the fund to further mobilize crisis support to the Ukrainian authorities along with support for critical infrastructure repairs and longer-term reconstruction.
“The World Bank is an organization that has proven to be effective and has quickly mobilized significant funds to help Ukraine. Channeling funding through the World Bank ensures that it will be used effectively and for the agreed purposes. It also guarantees that our efforts will be coordinated with those of other donors and the support we provide will have maximum impact,” said the Minister.
Norwegian funding will be used to provide grants from the World Bank offering flexible support for repair, rehabilitation and preparation for reconstruction of critical infrastructure facilities.
Earlier, Norway provided the government of Ukraine through the World Bank with a budget support of NOK 300 million. These funds were used to pay the salaries of medical personnel, teachers and public sector employees, as well as pensions and social benefits.
Azerbaijani Foreign Ministry spokesman Aikhan Hajizada said Azerbaijan provided Ukraine with 50 generators and 45 power transformers as humanitarian aid.
“Azerbaijan continues to provide humanitarian aid to Ukraine. 45 power transformers and 50 generators provided by Azerenerji were sent to Ukraine. As of today, Azerbaijan has provided more than 30 million manats (more than $50 million) in aid to the needy population,” Hajizada tweeted on Sunday.
Azerenerji is the largest producer of electricity in Azerbaijan.
Exchange rate according to the Ministry of Finance on December 10: $0.59/AZN, AZN1.7/$1.
Ukrzaliznytsia has asked holders of its Eurobonds due 2024 for $594.9 million at 8.25% and Eurobonds-2026 for $300 million at 7.875% to defer all payments on them for 24 months.
“Given the group’s projections for fiscal years 2022 and 2023 and the financial plan for 2023 prepared and subject to approval by the Ukrainian government, and in particular against the background of the recent intensification of infrastructure shelling by Russia, the group believes it is time to initiate a consent request to complete the process before interest payments in January 2023,” Ukrzaliznytsia said in the stock exchange filings.
The company indicated that it expects to generate a net loss from transportation activities in 2022 and 2023, which it expects to mostly be offset by subsidies from the state budget, using them to cover operating and capital expenses. During this period, capital expenditures are also expected to be partially covered by financing from international financial institutions.
“Ukrzaliznytsia recalls that despite unprecedented economic and operational uncertainty, with vital government assistance it was able to successfully and fully service the interest payments due on its Eurobond debt in July 2022.
The company also noted that Ukraine was able to achieve a similar two-year deferral of payments on its Eurobonds in the summer.
“Since then, the operating environment and economic conditions have continued to deteriorate, and it is unclear when the war will end,” Ukrzaliznytsia stated.
The company, unlike the government, offers a reward for agreeing to defer payments of 0.5% of par.
On the deferred coupon payments also accrue interest at current rates, which the issuer can either pay in full or in part in the specified two years, or capitalize.
Applications from holders of Eurobonds-2026 are accepted until December 16, inclusive, and from Eurobonds-2024 – until December 20. A meeting is scheduled for December 21 on Eurobonds-2026, and the results will be announced on the same day for both issues.
The maturity of Eurobonds-2024 is proposed to be postponed from July 9, 2024 to July 9, 2026, and Eurobonds-2026 from July 15, 2026 to July 15, 2028, with coupon payments for each issue being made semi-annually.
The documents also state that Ukrzaliznytsia intends to treat the holders of both bond issues equally, but reserves the right to waive the “cross condition” at any time before the announcement of the results.
Large trade and production group “Textil-Contact” (TC) has opened a new production – sewing of interior products on the first floor of the building where TC’s head showroom in Kiev is located on the second-third floors, the group’s owner Alexander Sokolovsky said.
“Today we open a new project. And it’s again about the production … And although the new production has been working for almost two months, only today we decided to announce the official opening,” – he wrote on Facebook on Thursday.
At the same time Sokolovsky noted that the war has badly affected the sales of the whole “civil” range of the group – not only fabrics for clothing, but also furniture and decorative fabrics, which the company has been selling wholesale, retail and through the online store TK.UA for 27 years.
According to him, at the initiative of the head of the Department of Decor Olena Volosevich, the areas of the closed large Pilates salon were rented, where the factory “TK-Decor & Factory” is located, which is already equipped with necessary modern equipment and can perform tasks of any complexity from mass production to individual orders.
“I see the new project as a full-fledged sewing shop combined with experimental production. But Lena does not agree with me (indeed, as always) and believes that this is already a small factory for sewing interior products. And she asks me convincingly not to call it a workshop anymore, but another factory, the 12th in the family of TC, but still a small one,” – Sokolovsky wrote.
According to the owner of the group, one of the main customers are interior designers, but everyone can use the advice, the selection of fabrics in the wholesale showroom and the help of the seamstresses (of which there are already 11, and soon will be 20).
The new factory produces curtains, curtains, tulle; tablecloths, kitchen sets; decorative pillows and covers; everything for HoReCa; shoppers, bags, interior products.
“We already have orders for Rosetka, Epicenter, Leroy Merlin, OLDL, Prom. ua and several individual orders,” Sokolovsky said.
“We have our own front, an economic front, and we’re holding it…,” he summarized.
“Textil-Contact” is one of the largest trade and production groups in the market of light industry in Ukraine, founded in 1995. At present, it is a holding company, which unites different areas of assets: wholesale and retail trade, import of fabrics, accessories and home textiles, production of fabrics, threads, dry cleaning, as well as tailoring of clothes and overalls (including military uniforms), medical products.
Turkish President Recep Tayyip Erdogan plans to hold talks with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelensky in the next few days.
The Turkish President said this while speaking to the participants of TRT World Forum in Istanbul, Anadolu Agency reported.
According to Erdogan, talks with Putin are scheduled for Sunday, December 11. The main topic will be the operation of the grain corridor. A conversation with Ukrainian President Vladimir Zelenski is also scheduled, Erdoğan said.
He also stressed that Ankara’s diplomatic efforts are aimed at achieving peace in the Black Sea region.
“Despite the fact that the Istanbul dialogue process between Russia and Ukraine, has been interrupted, this platform is still the most ideal for long-term peace,” Erdogan is confident.
Ukraine’s real gross domestic product (GDP) fell by 30.8% in the third quarter of 2022 compared with the third quarter of 2021 after falling by 37.2% in the second quarter and 15.1% in the first this year, the State Statistics Service released this operational estimate on Friday.
According to the released data, GDP grew by 9.0% compared to the previous quarter (seasonally adjusted).
According to the State Statistics Service, Ukraine’s GDP grew by 3.4% in 2021 after a decline of 3.8% in 2020, its nominal volume was about $200 billion.
The Ministry of Economy previously noted that the Russian attacks on the energy infrastructure, which began on October 10, increased the rate of decline of the Ukrainian economy to approximately 39% in October and 41% in November, resulting in the forecast for the year as a whole worsened from 32% to 33.2%.
NBU leaders also said at a briefing on December 8 that the Russian energy terror worsened their estimate of this year’s GDP decline by 31.5%, but did not specify by how much.
IMF expects Ukrainian economy to fall by 33% this year
