Business news from Ukraine

Business news from Ukraine

NATIONAL BANK OF UKRAINE INCREASES NUMBER OF SYSTEMICALLY IMPORTANT BANKS TO 14

The National Bank of Ukraine in accordance with the updated methodology has increased the number of systemically important banks to 14, whereas since 2016 their number remained unchanged at three, including state-owned PrivatBank, Oschadbank and Ukreximbank, the regulator has said.
The expanded list of such banks also includes state-owned Ukrgasbank and private Alfa-Bank with the merging Ukrsotsbank, Raiffeisen Bank Aval, FUIB, UkrSibbank, TAScombank and Universal Bank controlled by Sergiy Tigipko, Kredobank, OTP Bank and Bank Pivdenny.
The National Bank noted that systemically important banks are the banks whose bankruptcy or improper functioning can lead to systemic risks, while obtaining this status imposes an additional burden on the banks as they must fulfill certain increased requirements to ensure their safety margin.
In particular, the National Bank of Ukraine established special values of quick liquidity ratio for such banks from January 1, 2020: at least 30% of current liabilities (for other banks 20%) and the maximum credit risk per counterparty at no more than 20% of regulatory capital (for other banks 25%).

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CHANGES IN CURRENCY EXCHANGE, UAH/USD, 02.05.19.-27.06.19

Changes in currency exchange, uah/usd, 02.05.19.-27.06.19.

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LVIV APPROVES CONSTRUCTION OF HOTEL NEAR AIRPORT, DEVELOPER NEGOTIATING WITH HILTON

The executive committee of the Lviv City Council has approved the town-planning conditions and limits for designing an office and hotel center at 191b, Liubinska Street.
As reported on the website of the City Council, private enterprise Galmodern plans to build an office center with underground parking and a hotel and office center with underground parking on the site. The facilities will be located near the Lviv airport.
Zaxid.net reported with reference to Head of the department of architecture and urbanism of the Lviv City Council Yulian Chaplynsky that Galmodern is negotiating the opening of a hotel under the international brand of Hilton Hotels & Resorts.
“There are negotiations with the Hilton network. But for the time being they have only received town planning conditions for design. It is finally unknown if they submit this [the project] to Hilton or another network,” Chaplynsky said.
According to the unified public register, Natalia Onoshko (100%) is listed as the participant and ultimate beneficiary of Galmodern.
She also acts as a signatory to LLC Innovation Management Systems, registered in 3, Shukhevycha Street, in Lviv. At this address, the Ibis hotel operates (Ibis Styles Lviv Center opened at the end of 2015).

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REAL WAGES IN UKRAINE 7% UP IN MAY 2019 – STATISTICS

Real wages in Ukraine in May 2019 compared with May 2018 increased by 7%, compared with April 2019 it fell by 1%, the State Statistics Service has said.
According to the agency, the average nominal wage of full-time employees in May 2019 compared with April 2019 fell by 0.3% and in annual terms it grew by 17.4%, amounting to UAH 10,239.
The service said in April 2019 it amounted to UAH 10,269, in March 2019 some UAH 10,237, February 2019 some UAH 9,429, and in January 2019 some UAH 9,223.
According to the statistics department, the largest increase in the average wage of full-time employees in May 2019 compared with May 2018 was observed in Kyiv (22.7%), Kharkiv (21.2%), Dnipropetrovsk (21.1%), Mykolaiv and Vinnytsia (by 20.2%), Zaporizhia (by 19.9%), Rivne (by 19.7%) %), Volyn (18.8%), Poltava (18.5%), Ternopil (18.4%), Luhansk and Lviv (by 18.2%), Cherkasy (18.1%), Khmelnytsky ( 17.4%) and Kirovohrad (17%) regions.
The highest level of wages in May 2019 was recorded in Kyiv city at UAH 15,157, the lowest one in Chernvtsi region at UAH 7,819.

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U.S. SENATE ADOPTS BILL INCREASING ASSISTANCE TO UKRAINE TO $300 MLN

The U.S. Senate has adopted a draft National Defense Authorization Act (NDAA), which foresees the expanded assistance to Ukraine in the sphere of security and defense in 2020 compared with 2019, the Ukrainian Embassy in the United States has reported.
“The U.S. Senate has passed a draft document proposing to expand the security assistance to Ukraine to $300 million,” the Embassy said.
According to the report, this is $50 million more than the current year’s sum. The document assigns $100 million only for lethal weapons.
“It is proposed to expand U.S. assistance in strengthening the defense capability of the Armed Forces of Ukraine by including coastal defenses; anti-ship missiles; and systems that enhance the effectiveness of troop control, in particular, air defense and coastal defense,” the Embassy said.
According to the procedure, the National Defense Authorization Act (NDAA) for 2020 will come into force after it is approved by the House of Representatives, as well as signed by the President of the United States.

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EXPORT MARKETS GET MORE ACCESSIBLE WITH HELP OF SOLUTIONS FROM DUN & BRADSTREET AND INTERFAX-UKRAINE

To enter new export markets and check counterparties around the world, Interfax-Ukraine offers products and solutions from Dun & Bradstreet (NYSE: DNB), the world’s leader on the market of information about legal entities. Products of the D&B group (Dun & Bradstreet):
GRS (Global Reference Solution) is a global online corporate directory that helps carry out an express analysis of marketing environment, search for partners and clients, verify addresses. Being available on the Internet, it covers 230 million companies all over the world.
D&B Report – business inquiries of companies (Business Information Report) – obtaining an extending examination of the activities of any company worldwide. Data are received within 3-14 days, depending on the country.
D&B KYC Report (Know Your Customer) – checking companies for being in the black and sanctions lists around the world. With the help of D&B’s capabilities, you and your employees will be able to:
– check foreign partners and counterparties in all countries;
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– search for potential customers and partners around the world.
D&B’s business valuation ratings are the global benchmark for making decisions on cooperation. At the same time, due to the volume of orders and well-practiced procedure for doing business, D&B services are affordable, while access to information has a convenient interface.
Our solutions can be useful for:
– marketing departments (direct marketing, telemarketing, market research, analysis of competitors, search and evaluation of suppliers of products and services);
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– procurement departments (evaluation of counterparties and association of suppliers within corporate relationships);
– risk managers (evaluation of the risks of interaction with counterparties, partners and customers);
– financial departments (checking counterparties and preparing reports, including on transfer pricing);
– legal departments (reference information on counterparties);
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Interfax-Ukraine is an authorized partner of D&B (Dun & Bradstreet) in Ukraine.
Maksim Urakin is the project manager.
For consultations, as well as cooperation, please contact Interfax-Ukraine’s commercial department by phone:
+38 (044) 270 6574,
e-mail: urakin@interfax.kiev.ua

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