Business news from Ukraine

Business news from Ukraine

UKRAINE RAISES ELECTRICITY EXPORTS BY ALMOST 20% IN JAN-NOV 2018

Ukraine in January-November 2018 increased electricity exports by 19.8% (by 931.2 million kWh) compared to the same period in 2017, to 5.639 billion kWh, the Ministry of Energy and Coal Industry has told Interfax-Ukraine.
The supply of electricity from the Burshtyn TPP energy island towards Hungary, Slovakia and Romania increased by 21.9% (by 625.2 million kWh), to 3.474 billion kWh.
Export of electricity to Poland increased by 65.5% (by 424.6 million kWh), to 1.291 billion kWh.
Electricity supplies to Moldova amounted to 873.8 million kWh, which is 19% (204.8 million kWh) less than in January-November 2017.
Ukrainian electricity was not exported to Belarus and Russia in January-November 2017 and January-November 2018.
At the same time, in November 2018, export of Ukrainian electricity amounted to 589.2 million kWh, which is 2.3 times more than in November 2017 (258.6 million kWh).
In addition, Ukraine in January-November 2018 imported 28.507 million kWh of electricity.

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FOXTROT SEEKS TO DOUBLE ONLINE SALES

The Foxtrot. Household Appliances network, developed by the Foxtrot group of companies (Kyiv), is working on a new online platform and wants to increase its share of online sales to at least 20%, Head of the Foxtrot Group and Head of the supervisory board of the Foxtrot. Household Appliances network Valeriy Makovetsky has said.
“The company has decided to invest large amounts of money in a modern online platform, one of the leaders in this segment in the world – SAP. This is quite large investment that will help us restructure the sales technology, the communication interface with consumers, and we hope we will be able to strengthen our position online. We are planning to increase sales in this segment at least twice,” Makovetsky said in an exclusive interview with Interfax-Ukraine.
He did not name the amount of investment in the development of the new online platform, but said that now the share of online sales of the Foxtrot network is about 10%.
According to Makovetsky, the company sees great prospects for the development of multi-channel sales.
“I have to say that Foxtrot also develops multi-channel sales: a consumer can purchase goods on our website, in the nearest store, or order delivery right to the door – from the website or a store using an electronic catalog, also receiving expert advice. I see that the same model is being developed by Comfy and Eldorado. We understand the great prospects of this market,” he said.
According to Foxtrot, the number of visits of the online store in 2017 reached 6.5 million users during peak months.
Foxtrot. Household Appliances network has 162 supermarkets in 90 cities of Ukraine with a retail area of 153,000 square meters.

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UKRZALIZNYTSIA TO START TALKS ON EXTENSION OF KYIV-RIGA TRAIN ROUTE TO TALLINN IN JAN

Ukrzaliznytsia in 2019 will start talks with Estonia’s Eesti Raudtee railway company on extension of the Kyiv-Riga train to Tallinn.
It was planned to start the talks in December, although they were postponed. Now representatives of Eesti Raudtee and Ukrzaliznytsia are to meet on January 17, 2019, Spokesperson of Eesti Raudtee Monika Lilles said.
The weekly Kyiv-Minsk-Vilnius-Riga train was launched on September 28, 2018. At the end of Nov, Ukrzaliznytsia said that then the train was running at about zero cost effectiveness. However, given the “low season” and only the recent launch, Ukrzaliznytsia considered the launch of this train successful.
According to the company, after eight trips the train carried 2,100 passengers, of which 1,000 – to/from Lithuania and 950 – to/from Latvia.

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NBU APPROVES APPLICATION OF IBAN IN UKRAINE

The National Bank of Ukraine (NBU) has approved the application of the international bank account number (IBAN) in Ukraine starting from 2019, the central bank has reported on its website.
The decision is outlined in NBU Board resolution No. 162 dated January 28, 2018 on the introduction of IBAN.
According to the new standard, the valid account numbers for clients will be supplemented with the country code and the bank code. According to the NBU, it will simplify the identification of the payer and the recipient of funds, as well as the bank of Ukraine, which settles payments, it will allow avoiding errors in the account details by reducing the details in the settlement documents, and will accelerate the transfer of funds.
As the National Bank said, from April 1, 2019, banks will open new IBAN accounts to customers, and banks will change their current account numbers from April 1 through October 31, 2019, in accordance with the requirements of the new standard, while maintaining the current number of analytical accounting. In the period from April 1 through October 31, 2019, bank customers can indicate both a valid account number and a bank code, and a number in the IBAN standard in the details of payment documents.
In addition, the use of IBAN will become mandatory for customers of all banks of Ukraine in the implementation of money transfers, both in national and in foreign currencies, including cross border transfers. That is, all transfers will be carried out exclusively using IBAN.
According to the National Bank, the application of the new standard will harmonize the Ukrainian payment space with the European one, and will contribute to the further planned modernization of the Electronic Payment System of the central bank.
The use of IBAN in the future will also make it possible to use QR codes that will contain information on IBAN, to simplify the payment of bills and exchange with payment information.

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ZELENSKY SAYS HE WILL RUN FOR PRESIDENT IN UKRAINE IN 2019

Showman and actor Volodymyr Zelensky has announced that he will run for president in the presidential elections in Ukraine on March 31, 2019.
Zelensky made the corresponding statement during his appeal on the air of the 1+1 TV Channel, which was shown before the New Year’s address by President of Ukraine Petro Poroshenko. The congratulation of the head of state was shown on the TV Channel after the New Year’s Eve.
“Now there is such a situation in Ukraine when every Ukrainian has three ways: the first one is to live as you live, go with the flow and this is normal, this is everyone’s choice; the second way is to collect your things and go to another country, earn money there and send them to the relatives and friends, and this is also normal; but there is also the third way – to try to change something in Ukraine. And I chose it for myself,” Zelensky said.

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2018 A RECORD-BREAKING YEAR IN TERMS OF NUMBER OF ROADS REPAIRED IN UKRAINE — POROSHENKO

Thanks to the start of the operation of the Road Fund 3,800 kilometers of roads of both national and local importance have been restored, and 2018 has become a record-breaking year in terms of roads repaired in Ukraine, President Petro Poroshenko of Ukraine has said.
“Also, we have managed to implement several large-scale infrastructure projects. Among them are the launch of the Beskydsky tunnel, the start of supplies of General Electric locomotives [to Ukraine], and the launch of an express train to the Boryspil airport,” Poroshenko wrote on his page on Facebook on December 30.
Summing up, he said that “these successes are an excellent impetus for not slowing down the pace of the development of the transport infrastructure in 2019, too.”

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