KYIV. July 21 (Interfax-Ukraine) – The net profit of the 94 largest state companies of Ukraine in January-September 2016 increased by 20 times compared to 2015, to UAH 40 billion.
According to a report posted by the Ministry of Economic Development and Trade on the activities of the 94 largest state-owned companies during this period, the structure of the portfolio of these enterprises for January-September 2016 did not change. The largest portfolio assets are concentrated in the oil and gas sector (NJSC Naftogaz Ukrainy), transport (PJSC Ukrzaliznytsia) and electric power (Energoatom).
The net profit of the largest state-owned companies is due to the growth of profits in the oil and gas sector and energy, the ministry explained. The figure in the oil and gas industry amounted to UAH 25.5 billion, which is 120 times higher than in the same period of the previous year. The growth in net income was shown by all sectors of the portfolio, except for chemical and coal industries, in which this figure fell by 38%, to UAH 7.5 billion, and by 18%, to UAH 3.9 billion, respectively.
“This growth can be explained by reforming the price policy of Naftogaz, whose net profit increased by 108 times compared with the same period in 2015,” the ministry said.
According to the agency, for the first nine months of 2015 Naftogaz posted a net profit of UAH 234 million, while in January-September 2016 some UAH 25.5 billion.
KYIV. July 21 (Interfax-Ukraine) – President of Ukraine Petro Poroshenko signed the law on the Energy Efficiency Fund, aimed at supporting the implementation of energy efficiency in the multi-storey housing sector of the country and attracting EUR 100 million from the European Union for its work, in Kyiv on July 20.
“The need for the creation of the fund was understood tens of years ago, but it is important that now, when we create it, it is approved by all our international partners, international financial organizations. I am confident that the results of our practical activities will be available in the near future,” Poroshenko said during the events dedicated to the signing the law of Ukraine on the Energy Efficiency Fund in Kyiv.
As reported, the Verkhovna Rada of Ukraine adopted the law on the Energy Efficiency Fund on June 8.
Minister of Regional Development, Construction, Housing and Utilities Services Hennadiy Zubko stressed this law will enable Ukrainian households to save up to 50% of energy while implementing thermo-modernization measures.
KYIV. July 21 (Interfax-Ukraine) – The International Finance Corporation (IFC), a member of the World Bank Group, will be providing up to $15 million to the Emerging Europe Growth Fund III (EEGF III, Delaware, the United States) launched by Horizon Capital Advisors, LLC for investment mostly in Ukraine.
Earlier, on June 5, the IFC board approved the project to invest up to $20 million in EEGF III.
As reported, U.S.-based Overseas Private Investment Corporation in June 2016 reported the disbursement of up to $37.5 million to EEGF III fund, launched by Horizon Capital, for up to 10 years.
The fund with a declared volume of $150 million will focus on medium-sized fast-growing, export-oriented companies in Ukraine and Moldova with the potential to become local or regional market leaders. It is assumed that the fund will make investment by buying a minority stake in such companies. At the same time, if necessary, it is also possible to provide seed capital for start-ups, acquire businesses or participate in privatization.
Along with IFC and OPIC, the co-investors in the fund are the European Bank for Reconstruction and Development (EBRD), Dutch Development Bank and Western NIS Enterprise Fund (WNISEF).
Horizon Capital was established in 2006. It manages private equity funds Western NIS Enterprise Fund (WNISEF, established in 1994 with a capital of $150 million), Emerging Europe Growth Fund, L.P. (EEGF, established in 2006 with a capital of $132 million) and EEGF II (EEGF, established in 2008 with $370 million capital).
The funds are invested in projects in Ukraine, Moldova, and Belarus.
KYIV. July 20 (Interfax-Ukraine) – The Mobile ID electronic identification technology could be introduced by mobile operators by the end of 2017, Ukrainian Prime Minister Volodymyr Groysman has said.
“I think that this year we would expand the possibilities of Mobile ID. We are working on the issue. I think that this year we would make the relevant decisions,” he said at a government meeting on Wednesday.
Earlier Groysman called on all mobile operators to create the identical system that would be clear for users. He said that the government is ready to support the idea in the legal field – to form a package of legislative initiatives for the implementation of mobile identification.
Using Mobile ID mobile communications users would be able to sign documents in the electronic form, pay for services and receive access to protected e-documents using their mobile phones.
Mobile ID provides for the creation of an infrastructure for interaction between mobile operators’ networks, key certification centers and various electronic interaction portals with citizens, providing mobile phone owners with special SIM cards with built-in identification algorithms. Since 2000, similar services have been introduced in most EU countries, as well as in Moldova, Azerbaijan, Lithuania, Latvia, Estonia and Kazakhstan.
KHARKIV. July 20 (Interfax-Ukraine) – Representatives of the European Investment Bank (EIB) have approved a financial contract for a loan of EUR160 million for the construction of new metro stations in Kharkiv, First Deputy Mayor Ihor Terekhov has said.
“We have achieved agreement on virtually all items of the financial contract, which will allow issuing the loan to Kharkiv,” the press service of Kharkiv City Council said citing the official.
According to him, at a meeting in Kyiv representatives of the EIB, Kharkiv City Council, the Ministry of Finance, the Ministry of Economic Development and Trade, the Ministry of Regional Development and the Ministry of Infrastructure discussed all the financial components of the loan for EUR160 million, as well as technical issues related to the construction of new metro stations. In addition, the parties approved all tranches of the loan, based on the schedule of subway construction.
“We’ve also discussed a number of technical issues regarding the future construction of the third subway line, the purchase of rolling stock and the construction of an electric depot. This gives us green light to receive a loan from the European Investment Bank for metro building,” Terekhov said.
KYIV. July 20 (Interfax-Ukraine) – VEON Ltd. international group (earlier VimpelCom), the global provider of telecom services, on July 19 launched the VEON personified Internet platform for communications on the Ukrainian, Italian, Pakistani, Russian and Georgian markets, Kyivstar mobile communications operator has said on its website.
“VEON is a global digital platform uniting all modern Internet communications technologies, content services and entertainment, making them affordable for clients of any mobile communications operators in one application,” the operator said.
Using the platform one can publish photo, video and audio messages and share your location.
The press service of Kyivstar told Interfax-Ukraine that clients of all Ukrainian mobile operators will be able to use the application.
“Subscribers of companies, which are part of VEON Group, including Kyivstar, will have additional advantages. Using the VEON platform, they can communicate, send messages without paying for internet traffic and even if they have no money on their accounts,” the company said.
Kyivstar said that in the near term VEON would be expanded with financial services.
Now the application is available for Android, and it will be launched for iOS in the near term.
