Business news from Ukraine

Business news from Ukraine

FORMER ESTONIAN SPORTSMAN LOOKING FOR INVESTOR TO MAKE ELECTRIC CARS IN UKRAINE

TALLINN/KYIV. May 17 (Interfax-Ukraine) – Former Estonian sportsman and hammer thrower Juri Tamm wants to open luxury electric cars production facility in Ukraine in a couple of years if he finds an investor who will be ready to invest EUR 4 million in the project, Postimees publications said on Monday.

Tamm is the co-owner of Ukraine’s Electric Marathon International that designed a prototype of Syncronous car on the basis of auto parts bought on the global automobile market.

Tamm said that the first batch the company intends to make will consist of 20 electric cars.

According to Electrocars, a total of 693 electric cars were registered in Ukraine as of middle of February 2016, including 485 Nissan Leaf cars and 45 Tesla cars.

COST-EFFECTIVENESS OF PROZORRO PROCUREMENT SYSTEM IN MEDICAL AREA TOTALS ALMOST 19%

KYIV. May 17 (Interfax-Ukraine) – Some UAH 85 million or 18.79% of the planned volume (UAH 452 million) has been saved via the ProZorro public procurement system in the medical sphere. This is almost 6% higher than average figures in the system.

Deputy Economic Development and Trade Minister Maksym Nefyodov wrote on his Facebook page, referring to the Tribune. Poltava’s Independent Print Media portal, 17,517 of 55,942 tenders that passed the auction stage were organized by medical institutions from 23 regions.

The largest number of tenders (9,166) were carried out in Kyiv (18.97% were saved) region, as well as in Dnipropetrovsk region with 4,111 tenders and 19.14% saved funds.

Other regions also saved much money via the ProZorro electronic procurement system. Chernihiv region conducted 907 tenders and saved 16.64%, Mykolaiv – 701 (21.31%), Volyn 561 (19.51%), Odesa – 442 (17.43%), Donetsk – 360 (18.75%), Rivne – 241 (16.59%), Poltava – 211 (18.86%), Zhytomyr – 97 (19.55%), Ternopil – 94 (13.83%), Chernivtsi – 90 (6.93%), Luhansk – 89 (22.56%), Zaporizhia – 86 (16.92%), Kharkiv – 77 (22.47%), Kirovohrad – 73 (12.64%), Cherkasy – 68 (11.89%), Lviv – 62 (16.12%), Sumy – 39 (18.68%), Volyn – 32 (15.65%), Ivano-Frankivsk – 18 (14.3%), Zakarpattia – 13 (7.62%), and Kherson – 6 (29.96%) regions.

The most popular goods were medical equipment – 4,956 tenders. Some 16.26% of funds were saved of almost UAH 132 million planned. Medical institutions bought foods at 3,812 tenders and saved 21.68% of UAH 118 million planned, medicines were bought at 1,655 tenders and almost 14% of UAH 46 million was saved.

The largest funds were saved when medical forms and enrollment books were bought: UAH 1.85 million of UAH 3.67 million (50%).

A total of 282 hospitals, 140 assistance centers, 64 early treatment centers, 60 out-patient hospitals, 57 boarding schools, 27 healthcare departments, 26 recreation centers, 16 care homes, 15 blood centers, nine AIDS centers and nine military hospitals organized electronic trading via the ProZorro platform.

INFRASTRUCTURE MINISTRY INTENDS TO HALVE TERM FOR GETTING PERMITS TO ENTER RIVER PORTS BY FOREIGN SHIPS

KYIV. May 17 (Interfax-Ukraine) – Ukraine’s Infrastructure Ministry initiates the halving of the term for getting a permit to enter river ports by ships with foreign flags from 10 to five days.

An Interfax-Ukraine correspondent has reported that Deputy Minister Yuriy Vaskov gave the information at the international conference entitled “Freight Traffic on Dnipro River” on Monday.

“We included the proposal to the bill on the domestic water transport. The measure has been on the parliament’s agenda for around six months and it has not yet been put on the voting agenda,” he said.

Vaskov said that the legislative work will continue until the bill is passed.

Ten days to issue the permit is not violation of law, but this is an example of inefficient legislation.

EIB TO INVEST ABOUT EUR800 MLN IN UKRAINE IN 2016

KYIV. May 17 (Interfax-Ukraine) – The European Investment Bank (EIB) intends to invest about EUR800 million in projects in Ukraine in 2016, while in future mulls the annual funding of up to EUR1 billion for the country, EIB Senior Corporate Banker Jean -Jacques Soulacroup has told Interfax-Ukraine on the sidelines of the fourth international investment conference New Ukraine in Kyiv.

“Last year we provided loans worth EUR1.2 billion, this year, I believe, there will be about EUR800 million. We work with the European Commission to see whether it is possible to expand the portfolio and reach a figure of EUR1 billion per year and maintain this volume,” he said.

According to him, about 60% of lending falls on public sector – development of transport infrastructure, energy, energy efficiency projects, municipal projects, environmental projects, and 40% is aimed at lending to small and medium-sized enterprises through local partner banks.

According to the banker, the EIB’s total portfolio of loans in Ukraine is EUR4.3 billion.

KYIV INVESTMENT AGENCY TO RAISE ABOUT $2 BILLION FOR PROJECTS

KYIV. May 17 (Interfax-Ukraine) – Kyiv Investment Agency (KIA) plans by the end of 2016-the beginning of 2017 to raise about $2 billion for projects in real estate and infrastructure, KIA Head Oleh Mistiuk has said at the fourth international investment conference New Ukraine in Kyiv.

“There will be a few transactions in 2016 and in early 2017, not only in real estate but also in other areas, which together will amount to about $2 billion,” he said.

He said some 25 projects are to enter the market by the end of the year, another 50 projects of Kyiv Investment Agency are to be brought to the market by 2017.

According to Mistiuk, most projects are designed for 3-4.5 years. They are supported by international financial institutions within the EBRD, the European Investment Bank.

“The basic idea is to ensure the profitability of certain projects. There is always a balance between the social needs of the city and commercial interests. Therefore the city tries to add a social element to each of these projects, making it quite valuable to society. This applies not only to residential real estate but also commercial property,” he said.

KYIV, LVIV, ODESA AND DNIPROPETROVSK ASPIRE TO HOST EUROVISION 2017

KYIV. May 17 (Interfax-Ukraine) – The mayors of the Ukrainian capital and three regional centers (Odesa, Dnipropetrovsk and Lviv) have expressed their willingness to host the Eurovision 2017 song contest in their cities.

Kyiv Mayor Vitali Klitschko said that the capital will properly prepare to host Eurovision “at the highest level.” “Kyiv will host Eurovision for the second time and we will try our best to properly prepare and host the contest at the highest level. We are already starting the preparations,” the Kyiv mayor’s press service quoted him as saying.

Klitschko named the Olympiysky National Sports Complex, which is located at the center of Kyiv, as the one of possible venues for holding the contest.

Dnipropetrovsk Mayor Boris Filatov said that he will address Ukrainian Prime Minister Volodymyr Groysman with the proposal to host Eurovision 2017 in this city on Monday. “I am preparing the proposal to the Prime Minister for May 16,” he wrote on his Facebook page following the list of reasons to host the contest in Dnipropetrovsk (well-developed infrastructure, in particular).

Odesa Mayor Hennadiy Trukhanov expressed the opinion that this city is fitting for hosting Eurovision. “The place fitting to host such a prestigious contest can absolutely be our Odesa, the beautiful cosmopolitan European city with rich history and cultural traditions,” he wrote on his Facebook page.

Moreover, Lviv Mayor Andriy Sadovy expressed the willingness to host the contest. “If necessary, Lviv will host Eurovision at the top level. We are always ready to host events at the top level. We proved this when we were hosting the European Football Championship and the World Chess Championship,” he said during the broadcast of the one of TV channels.

As reported, the Ukrainian singer Jamala, with the song ‘1944’, won the final of the Eurovision 2016 song contest in Stockholm, Sweden, on Saturday. Following the voting of the national juries of the countries participating in Eurovision 2016 and the viewers’ voting via SMS messages Jamala scored 534 points.

Overall, 26 countries participated in the final of the contest. Australia’s Dami Im won second place having scored 511 points, and Russian singer Sergei Lazarev won third place with 491 points.

Ukraine had already won the Eurovision 2004 song contest; the singer Ruslana Lyzhychko, with the song ‘Wild Dances’, was declared the winner.

According to the contest rules, the next Eurovision should take place in the country, the representative of which won the previous one. Thus, Ukraine will host the Eurovision 2017 song contest.