KYIV. May 25 (Interfax-Ukraine) – The main obstacle on the way of reforms in Ukraine is the lack of mutual trust in the power-business-society triangle, coordinator of the Ukrainian Business Initiative Andriy Nikolayenko said on ICTV television when discussing the draft plan of top priority steps of Ukraine’s Cabinet of Ministers.
He said that Ukrainian Business Initiative submitted proposals of Ukrainian business to add them in the government’s action plan and some of them have been included, but many provisions of the government’s plan require specification.
“This is the program to create new jobs. It should be more clearly pegged to current and promising drivers of the Ukrainian economy, opportunities and needs of the Ukrainian business and achieving the target growth rate,” he said.
Nikolayenko said that annual economic growth in Ukraine in next 10 years should be no lower than 7% to end the crisis. Business is ready for active communications with executive power to implement these tasks, he said. Business society understands that the Cabinet would not be able to implement its top priorities without tight cooperation with the National Bank of Ukraine (NBU).
“The NBU is to switch from the function of the regulator of several dozens of banks to the function of providing for economic growth. The key criterion for efficiency of the NBU’s work is to be the increase in the number of jobs, as it was done in the U.S. Federal Reserve System. The NBU is to help the government to conduct reforms. Now these relations are far from partner relations,” he said.
KYIV. May 24 (Interfax-Ukraine) – The Lifecell mobile operator has upgraded 3,000 base stations within a year after the launch of 3G technology in May 2015, which now provides 3G coverage in 617 cities and towns throughout the country, including 17 regional centers.
According to the press service of the company, with reference to its Chief Executive Officer Burak Ersoy, the first anniversary of the network deployment, in his opinion, it is the most significant.
The operator noted it is deploying the 3G network in Ukraine based on a three-channel data transfer technology, which allows to reach a maximum speed of up to 63.3 Mbps.
In 2015, the owner of 100% in Astelit mobile operator became Turkcell (Turkey).
In mid-January 2016, Astelit announced the re-branding of the (life) brand to Lifecell.
KYIV. May 24 (Interfax-Ukraine) – The State Property Fund of Ukraine (SPF) intends from early autumn to start the sale of controlling stakes in six regional energy supply companies, namely Ternopiloblenergo, Khmelnytskyoblenergo, Kharkivoblenergo, Mykolaivoblenergo, Zaporizhiaoblenergo and Cherkasyoblenergo and expects to obtain a total of about $300 million, SPF Head Ihor Bilous has said.
“All six power companies will have an initial price of about $250 million… What would we like to get? Some $300 million for all these companies,” he said in an interview with the Dzerkalo Tyzhnia weekly.
He added the starting price of Ternopiloblenergo will stand at $20 million, that of Khmelnytskyoblenergo at about $ 30 million.
“These are absolutely real prices for potential investors, not $130-150 million. In future, by the way, Ternopiloblenergo could cost $50 million,” Bilous said.
According to him, in spite of a long-standing corporate conflict at Ternopiloblenergo, both mentioned companies [together with Khmelnytskyoblenergo] will be easily sold.
“There is a simple business model there. Consumers are mainly individuals. The fundraising level is very high, and economic benefit in this case is very easily calculated,” the official said.
KYIV. May 24 (Interfax-Ukraine) – Deputy Regional Development, Construction, Housing and Utilities Economy Minister Eduard Kruhliak has been appointed coordinator for investment projects “Urban Infrastructure Project 2” and District Heating Energy Efficiency Project implemented using loans from the World bank.
The press service of the ministry reported that the ministry’s selection panel selected new consultants for the key groups for investment project management at an open tender.
The tender was announced in late March 2016. The candidates were selecting using the consultant hiring rules of the World Bank.
The agreement between Ukraine and the World Bank on a loan as part of the six-year investment project Urban Infrastructure Project 2 worth $350 million was launched in December 2014.
The following companies signed the agreements for taking part in the project: public joint-stock company Kyivvodokanal (Kyiv), Kramatorsk Vodokanal (Kramatorsk, Donetsk region), Dnipro-Kirovohrad regional municipal enterprise (Kirovohrad), Kolomyiavodokanal (Sheparivtsi, Kolomyia district of Ivano-Frankivsk region), Zhytomyrvodokanal (Zhytomyr), Ternopilvodokanal (Ternopil), Ivano-Frankivskvodoekotekhprom (Ivano-Frankivsk), Kharkivvodokanal and Waste Treatment Municipal Company (both based in Kharkiv).
The International Bank for Reconstruction and Development (IBRD) in 2014 provided a $382 million loan to implement the project introducing energy saving solutions in heating area at 10 companies.
Vinnytsiamiskteploenergo, Miskteplovodenergia (Kamianets-Podilsky, Khmelnytsky region), Donetskmiskteplomerezha, Kharkivski Teplovi Merezhi, Ivano-Frankivskteplokomunenergo, Mykolaivoblteploenergo, Khersonteploenergo, Dniproteploenergo, Kirovohradteplo and Chernihiv combined heat and power plant were selected as participating companies.
KYIV. May 24 (Interfax-Ukraine) – Ukraine and the United States on Monday signed an intergovernmental agreement on mutual assistance between the two countries’ customs authorities.
Head of the State Fiscal Service of Ukraine Roman Nasirov signed the document on behalf of Ukraine, while incumbent U.S. Commissioner of U.S. Customs and Border Protection Richard Gil Kerlikowske represented the United States.
The agreement was signed in the presence of Ukrainian Prime Minister Volodymyr Groysman, who announced after the official signing ceremony that “Ukraine’s customs system requires structural change.”
“We hope very much for your support and assistance. I’m sure that the customs reform will be our next success after the reform of the national police,” Groysman told Kerlikowske.
The U.S. Commissioner said in turn that signing the agreement “will let us continue building our cooperation in that sector.”
In his words, the agreement creates the necessary legal basis for the exchange of information and helps our countries implement laws concerning customs rights. “This agreement enables us to share experience and further improve our relations,” Kerlikowske added.
KYIV. May 24 (Interfax-Ukraine) – The European Union intends by the end of this year to provide EUR 20 million for development of infrastructure projects.
An Interfax-Ukraine correspondent has reported Head of the Delegation of the European Union to Ukraine, Ambassador Jan Tombinski gave the information at a briefing in Kyiv on Tuesday.
He added that some more issues are to be settled. Ukrainian Infrastructure Ministry is to present relevant documents that would enable the country to get the funds.
Acting Director of the European Investment Bank (EIB) representative office for Ukraine Guido Prudhomme said that the bank has approved a new grant for the infrastructure program and is completing the preparation of two important programs in urban transport and railway modernization. Relevant financial programs will be signed by the end of the year.
Asked about the terms of the introduction of the visa free regime for Ukraine, Tombinski said that as far as he knows foreign ministers are holding a meeting in Brussels on the issue.
“We are waiting for positive messages,” he said.
