Business news from Ukraine

Business news from Ukraine

COMMODITY PATTERN OF UKRAINIAN IMPORT IN JAN-MAY, 2019

Commodity pattern of ukrainian import in jan-may, 2019

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DEFICIT OF UKRAINE’S FOREIGN TRADE IN JAN-JUNE INCREASES BY 36%

The deficit of Ukraine’s foreign trade in goods in January-June 2019 increased by 36.3% compared with January-June 2018, to $3.736 billion, the State Statistics Service has reported. According to its data, export of goods from Ukraine for the specified period grew by 5.2%, to $24.469 billion, while imports by 8.5%, to $28.205 billion.
The service said that in June 2019 the seasonally adjusted export volume decreased by 3.7% compared to May 2019, to $4.081 billion, while imports by 0.2%, to $5.248 billion.
The seasonally adjusted foreign trade balance in June was also negative and amounted to $1.167 billion, which is 14.4% more than in the previous month.
The service said that foreign trade operations were carried out with partners from 214 countries of the world.
The ratio of coverage of imports by exports amounted to 0.87.

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OMEGA INSURER SEES 7% RISE IN PREMIUM COLLECTION THROUGH 6 MONTHS

Kyiv-based Omega insurance company in January-June 2019 saw its premium collection rise by 6.9% compared the same period last year, to UAH 49.082 million, the insurer reported on its website.
According to the company, a share of the policies on compulsory motor liability insurance shrank from 61% to 36% year-over-year.
The company paid UAH 14.723 million in claims to its clients under OSAGO policies, which were sold for a total cost of UAH 17.708 million. Thus this indicator shows 83%.
The company showed high dynamics in premiums under medical and other types of personal insurance (from 18% to 26%) and property insurance (from 7% to 23%).
Omega was set up in 1994. It has 24 licenses for providing services under 7 compulsory and 17 voluntary types of insurance.

UKRAINE WORKING ON POSSIBILITY OF INTRODUCING E-VOTING ACCORDING TO ESTONIA’S EXPERIENCE

The Foreign Ministry of Ukraine has proposed to introduce e-voting for Ukrainian voters abroad, and diplomats jointly with other institutions are studying Estonia’s experience in this sphere, State Secretary of the Foreign Ministry of Ukraine Andriy Zayats has said. “After the presidential election in 2019, we immediately turned to the Cabinet of Ministers with the proposal to introduce electronic voting, at least in the constituency abroad. The prime minister of Ukraine gave the relevant instructions to the Ministry of Justice and the State Agency for E-Governance, which are now working with us and colleagues from the Central Election Commission,” he said in an interview with Interfax-Ukraine.
At the same time, Zayats said that they have not yet started discussing technologies.
According to him, electronic voting will significantly increase the number of those who can vote, reduce the costs of organizing voting, facilitate logistics and significantly relieve foreign institutions in Ukraine.
“We understand that there is a risk of interference, and the level of protection of personal data should be very thoughtful. On the one hand, the voter must clearly identify himself, but at the same time exercise his right to vote secretly,” the diplomat added.

TOP TEN LARGEST UKRAINIAN RETAILERS INCREASE TAX PAYMENT BY ONE-THIRD

The top ten largest retail chains increased tax payment by UAH 1.2 billion in January-June 2019 or by 29% year-over-year, to UAH 5.4 billion, the Office of Large Taxpayers reported on its website on Tuesday.
According to the report, the largest amount of tax was paid by the ATB network – 57.4% of the total tax paid by the top ten largest retail chains, while its share compared to the previous year did not change significantly (57% in the first half of 2018).
Fozzy Group supermarket chain reduced its share of tax payments of the total amount paid by of the top ten largest retail chains to 12.6% compared with 11.4% in January-June 2018, Metro C&C (Metro Cash & Carry Ukraine LLC, Kyiv) – 8.3% compared with 10.8%, EKO Market supermarkets chain (EKO LLC) – 1.3% compared with 1.5%, Velyka Kishenya (Fudkom LLC, Retail Group, Kyiv) – 1.2% compared with 1.8%, Billa supermarkets (FDI Billa-Ukraine, Rewe Group, Germany) – 0.9% compared with 1.7%.
An increase in the share of tax payments was recorded with Auchan (Auchan Holding, France) – 7.3% from 5.6%, Novus (BT Invest) – 5.2% from 5%, and Fora (Fozzy Group) – 3.6% from 3%.
Varus supermarkets (Omega LLC) have not changed their indicator compared to the first half of 2018 – 2.2% of all taxes paid by the top ten retailers.
The Office of the Largest Taxpayers serves 23 food chains, which in the first half of this year increased tax payments more than 20%, to UAH 10.3 billion compared to UAH 8.5 billion in January-June 2018.

ANTI-CORRUPTION BUREAU OF UKRAINE AND SBU DETAIN DEPUTY MINISTER HRYMCHAK FOR $1.1 MLN BRIBE

The National Anti-Corruption Bureau of Ukraine (NABU) and the Security Service of Ukraine (SBU) under the procedural direction of the Prosecutor General’s Office (PGO) have detained Deputy Minister for Temporarily Occupied Territories and Internally Displaced Persons (IDP) of Ukraine Yuriy Hrymchak and his assistant for soliciting a $1.1 million bribe.
As reported on Wednesday on the NABU Facebook page, the deputy minister and his assistant were exposed and detained on suspicion of committing a crime under Part 4 of Article 190 of the Criminal Code of Ukraine (fraud committed in respect of an especially gross amount, or by an organized group).
“The indicated persons, allegedly for exerting influence on decision-making by persons authorized to fulfill the functions of the state, demanded unlawful benefit from the representative of a legal entity in the total amount of $ 1.1 million,” the NABU reported.
According to the bureau, the official and his assistant were caught red-handed while receiving part of the funds in the amount of $480,000.
The SBU press center on a Facebook page said that the criminal proceedings are being investigated by a joint investigation team consisting of representatives of the NABU, SBU and prosecutors of the process management department of the procedural management department in criminal proceedings on crimes of a special category of the PGO.
Earlier that day, the SBU press service reported that Hrymchak’s home was being raided.

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