KYIV. March 16 (Interfax-Ukraine) – Experts supporting the creation of a technocratic government in Ukraine have written an action plan for the new government.
The document was posted to the website of the Reanimation Package of Reforms civil platform.
Experts said the aim of economic policy should be the restoration of fast and sustainable economic growth. This can be accomplished by improving conditions for investments, increasing the private sector’s role in the economy and preventing corruption in the public sector.
Experts said that privatization of state assets and state property management is important in 2016. They said it is necessary to conduct at least three tenders for states in state-owned enterprises, as well as sharply reducing the list of enterprises not subject to privatization, In addition, they said the State Property Fund should become the public assets management body responsible for due diligence.
Experts said removing the ban on selling agricultural land from 2017 should be removed to improve the investment climate. Restrictions on dividend payments abroad should also be voided, they said. Experts said laws should be adopted by June for improving the country’s tax system and providing a level playing field for business. The measures should reduce the costs of taxpayers on tax compliance and eliminate opportunities for corruption and abuse by state officials. The reform package itself should be fiscally neutral, according to the experts, who said tax cuts should be made in line with a reduction of the share of public spending as a portion of GDP.
To improve the conditions for business development experts said it is necessary to implement a program in 2016 to improve Ukraine’s ranking in Doing Business; to launch the so-called regulatory guillotine for reforming supervisory and control bodies; to simplify foreign exchange regulations and to remove restrictions on foreign currency payments for trade operations, as well as adopting proactive trade policies which support Ukrainian companies entering foreign markets.
They said government should pursue a consistent policy on reducing the state role in re-distribution of revenues by completing a comprehensive review of public spending and by continuing the reform of public procurement, verification of recipients of pensions and social payments and verification of financial status of recipients of social payments. During the year it is necessary to start a pension reform that shall include the introduction of an accumulative component of the pension system, the said.
Experts said it is necessary to immediately create an office within the State Fiscal Service for large tax payers during the year. They recommended introducing an automatic procedure that ensures guaranteed full reimbursement of VAT to exporters.
Experts said government should also devote more funds and effort to attracting resources of international financial organizations considering investment projects in Ukraine. World Bank projects also represent unused financing in the amount of $2 billion, which is almost equal to the government’s entire capital expenditures in 2015.
KYIV. March 15 (Interfax-Ukraine) – Kyivsky cardboard paper mill (Obukhiv, Kyiv region), a leader in Ukraine’s pulp and paper industry in terms of production and sales, produced goods worth UAH 582.14 million in January-February 2016, which is 19.4% up year-over-year.
In January 2016, the mill saw a 16.7% increase in output compared to January 2015.
According to the UkrPapir association, the mill continued to see a certain decline in production of corrugated cardboard packaging in the first two months of 2016 – it was 2.6% down year-over-year, to 26.74 million square meters.
At the same time, an increase in corrugated cardboard packaging production in February 2016 from January 2016 made it possible for the mill to move ahead of the January leader in terms of corrugated cardboard output, Rubizhne cardboard packaging mill, and retain leadership after the first two months of 2016..
The Kyivsky mill decreased its production of cardboard by 17.3%, to 27,710 tonnes, including a decline of 16.5% in production of commodity cardboard, to 16,480 tonnes and a decline of 18.4% in production of box cardboard, to 11,230 tonnes.
Production of base paper (for sanitary products) remained unchanged, totaling 11,460 tonnes. Production of toilet paper, where the mill is a strong leader among other producers, fell by 7.5%, to 58.61 million rolls.
In January-February 2016, cardboard packaging production in Ukraine slightly rose, by 0.1%, to 105.23 million square meters, and cardboard and paper output dropped by 8.5%, to 111,100 tonnes.
Kyivsky cardboard paper mill is one of the largest cardboard and paper producers in Europe. It employs almost 2,200 people. It sells produce to almost 700 companies in Ukraine, some CIS member states and the rest of the world.
It mainly produces goods from wastepaper. Its capacity for processing wastepaper exceeds 850 tonnes a day.
In 2015, the mill saw a 54% rise in production from 2014, to UAH 3.857 billion.
KYIV. March 15 (Interfax-Ukraine) – The government of Japan has granted Ukraine $335,000 under five projects in the sphere of education and health care in four regions of Ukraine – Ivano-Frankivsk, Zakarpattia, Lviv, and Cherkasy regions.
The signing ceremony of relevant agreements with the participation of Ambassador of Japan to Ukraine Shigeki Sumi took place in Kyiv on Tuesday.
“Our government has previously helped Ukraine in the defense sector, and now we have begun to support projects aimed at ensuring the safety of every person. I am confident that for the sake of defense one should not curtail programs aimed at educating or stepping up safety of each person, or aimed at improving medical services and children’s education,” the ambassador said.
The grants cover five projects. An ultrasonic diagnostic device will be bought for Rohotyn central district hospital and Katerynopil central regional hospital each. Four monitors for patients, hematology and blood chemistry analyzers will be purchased for Lviv regional children’s hospital. Some kindergartens in the city of Uzhgorod will get kitchen appliances.
As was reported earlier, last year Japan provided Ukraine with financial support worth $1.85 billion for stabilization of the macroeconomic situation and the facilitation of reforms.
KYIV. March 15 (Interfax-Ukraine) – Yuzhny seaport (Odesa region), the largest port of Ukraine in terms of transshipment, intends in 2016 to reach EBITDA in the amount of UAH 1.195 billion, as well as to receive UAH 2.295 billion of income and, accordingly, UAH 854.4 million of net profit.
Such data are contained in an explanatory note to the financial plan of the enterprise, the text of which has been posted Infrastructure Ministry of Ukraine’s website..
The note says the calculation of the fiscal plan foresees the hryvnia to USD exchange rate of UAH 24.1 per $1.
Among the planned investment projects are the construction of a 110/10kV Yuzhny port substation (UAH 112 million), production and storm water treatment facilities (UAH 122.3 million), a specialized complex for bulk cargo (UAH 36 million). There are also plans to modernize and reconstruct gantry cranes (UAH 27.2 million), a coal-mining complex (UAH 13.4 million), engineering networks and facilities (UAH 12.3 million), railroad facilities (UAH 10 million), power supply networks and electrical equipment (UAH 50.5 million). The plan also provides for the purchase of lifting equipment (UAH 293.8 million).
KYIV. March 15 (Interfax-Ukraine) – The Ukrainian State Centre of Radio Frequencies on the order of the Council of Europe has developed the methodology, titled “Metrology. Determining the network coverage area of DVBT-2 standard digital terrestrial TV broadcasting.” The announcement was made in a press release issued by Ukraine’s National Council of Television and Radio Broadcasting.
The methodology study establishes procedures for determining the coverage of the population by DVBT-2 standard digital television services.
The method has been posted to the website of the National Council.
As reported earlier, the only provider of digital terrestrial television network in DVBT-2 standard is Zeonbud LLC. The study will help determine the level of coverage of Zeonbud LLC’s signal in Ukraine.
KYIV. March 15 (Interfax-Ukraine) – The State Property Fund of Ukraine (SPF) plans this week to sell shares of 31 companies at a discount of 50-60% on the stock exchange, as well as shares of three more companies at an auction with a price decrease (a Dutch auction).
The SPF’s website announces plans to sell shares in 22 companies at a 50% discount, including 6.367% of the PJSC Stebnyk mining and chemical enterprise Polimineral, 25% of PJSC Chernihiv factory of radio sets, 0.326% in PJSC Komsomolsk Mining Department, 21.524% of PJSC Chernivtsi Radio Technical plant, 37.578% of PJSC Lviv Coal Company and 100% of PJSC Aviation special purpose entity Meridian.
The shares of nine companies will be sold at a 60% discount on the stock exchange, including 23% of PJSC Industrial Glass Company, 89.507% of PJSC Bila Tserkva Rubber Factory, and 99.989% of PJSC Prylyv Plant.
A 25% stake in PJSC Chornomorsky Shipbuilding Yard will also be auctioned off.
MP from the Batkivschyna faction Serhiy Vlasenko criticized the SPF’s intention to sell shares of the companies at a discount.
“In my opinion, it is a crime,” he said at a meeting of the conciliatory council of the parliament.
