State-owned enterprise (SOE) Boryspil International Airport plans to start reconstruction of maneuvering area No. 2 in 2020 under a memorandum signed with Chia Communications Construction Company (CCCC) and relaunch it in 2021.
“The reconstruction works will be paid for using the loan and partly at the expense of the company’s own funds. The Chinese Eximbank can issue a government-secured loan. Financing rates with government guarantees are much lower than commercial ones and do not require additional expenses from the airport,” Commercial Director of the airport Heorhiy Zubko told Interfax- Ukraine.
He said that the Chinese company, at its own expense, prepared and submitted a pre-feasibility study of the project to the airport under the memorandum signed by the airport and CCCC. According to Zubko, the airport has already prepared its comments on the draft pre-feasibility study, which CCCC should resolve before the end of the year, after which negotiations on financing will be held with the bank.
“The procurement procedure was not carried out and the Boryspil airport did not spend the company’s money and the budget,” he said, adding that the construction proposal had been put forward by the Chinese side.
Zubko does not report on the final cost of the reconstruction project, since it will be known only at the final design stage.
Chairman of the parliamentary committee for industrial policy and entrepreneurship (Deputy Head of the Liashko Radical Party for Economic Policy) MP Viktor Halasiuk has said that a special investigation into growth of imports of ferrous metals to Ukraine by 25% should be conducted and he advocates the introduction of safeguard measures for the supplies of ferrous metals from China, Turkey, Russia and other countries.
“The Radical Party demands from the government and the Ministry of Economy to immediately conduct a special investigation into the unprecedented 25% growth this year in imports of ferrous metals and products from Ukraine. In addition, the people’s deputies insist on the introduction of preventive measures to protect Ukrainian metallurgy from predatory imports from China, Turkey , Russia and other countries,” the industrial policy committee said in a press release of with reference to Halasiuk.
According to him, the closure of the largest global markets and the intensification of the struggle for existing sales markets for metal products is a real threat to the Ukrainian industry and economy. At the same time, imports of ferrous metals in Ukraine have already grown by 25%, therefore, hundreds of thousands of jobs in the mining and metallurgy sector and related industries are under attack.
“We demand urgent measures to prevent the growth of imports of metal products from China, Turkey, the Russian Federation and other countries that are fiercely fighting for new markets for their products. It is also important to lobby for access of Ukrainian metal products to foreign markets, including through the export credit agency,” Halasiuk said, stressing that the United States, Canada, the EU, China, EurAsEC, Turkey, some African countries and others actively protect the domestic market of metal products from imports, increasing imports duties by 25% and more.
“Governments of the world’s largest economies are taking all possible and impossible measures to protect their own producers of metal and metal products,” he said.
President Petro Poroshenko of Ukraine has signed the law on ratification of a memorandum of mutual understanding between Ukraine and the European Union on the allocation to Ukraine of macrofinancial assistance from the European Union to the tune of EUR 1 billion, the presidential website said. By implementing the memorandum, Ukraine will be able to receive additional funding from the EU to the tune of EUR 1 billion to be used for purposes stated in the national budget.
In order to receive each of the two tranches of the EU’s financial assistance to the tune of EUR 500 million each, Ukraine must meet certain conditions that have been agreed upon by the parties in such areas as tax and customs policy, fighting corrupting, small-scale privatization, management of state-run enterprises, corporate management in state-owned banks and banking supervision, and further reforms in power industry, health care, and social care.
As was earlier reported, the Verkhovna Rada ratified the memorandum on November 8, 2018.
The agreements were signed in Kyiv on September 14, 2018, following President Poroshenko’s earlier agreements with leaders of EU institutions as a result of the East Partnership Summit that took place in Brussels on November 23, 2017, and the 20th Ukraine-the EU summit that was held in Kyiv on July 9, 2018.
LAW, MACROFINANCIAL ASSISTANCE, MEMORANDUM, POROSHENKO, RATIFICATION, UKRAINE-EU
