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Inflation in Ukraine drops to 7.1% yoy

Consumer prices in Ukraine rose by 0.5% in September 2023, after declining by 1.4% in August and 0.6% in July, the State Statistics Service (Ukrstat) reported on Monday.

At the same time, inflation was recorded at 1.9% in September-2022, so in annual terms in September-2023 it fell to 7.1% from 8.6% in August and 11.3% in July.

In September, the State Statistics Service recorded core inflation at 0.9% after two months of being at zero.

Given that core inflation stood at 2.4% in September 2022, it also fell to 8.4% year-on-year in September 2023 from 10.0% in August and 12.3% in July.

Since the beginning of this year, inflation in the country has been 3.0%, with core inflation at 4.1%, the State Statistics Service said.

In the consumer market in September, prices for food and non-alcoholic beverages decreased by 0.5%. Vegetables fell the most (by 9.7%). Prices for fruits, processed cereals, rice, sunflower oil, fish, and fish products fell by 5.1-0.4%. At the same time, eggs went up by 12.3%, and prices for butter, sugar, meat and meat products, lard, bread, and milk rose by 1.3-0.5%.

Prices for alcoholic beverages and tobacco products increased by 0.7%, which was due to a 1.4% rise in the price of tobacco products.

Clothing and footwear went up by 7.8%, with footwear rising by 8.2% and clothing by 7.6%.

Transportation prices increased by 2.2%, mainly due to a 4.9% rise in fuel and oil prices. At the same time, railroad passenger transportation fell by 3.2%.

Education services went up by 9.9%, namely secondary education by 13.9%, higher education by 11.5%, and preschool education by 5.4%.

As reported, at the end of July, the National Bank of Ukraine again improved its inflation forecast for this year from 14.8% to 10.6%, but last week announced plans to further revise it downward.

In 2022, inflation is expected to rise to 26.6% from 10% in 2021, and core inflation to 22.6% from 7.9%.

INFLATION

Ukraine has increased copper imports by 90%

In January-September this year, Ukrainian companies increased imports of copper and copper products by 89.7% in value terms compared to the same period last year, to $90.098 million.

According to customs statistics released by the State Customs Service of Ukraine, exports of copper and copper products decreased by 22.8% to $55.019 million over the period.

In September, the company imported copper worth $12.810 million and exported $4.822 million.

In addition, in the first nine months of 2023, Ukraine reduced imports of nickel and products by 76.4% compared to the same period in 2022 to $11.632 million ($595 thousand in September), while imports of aluminum and aluminum products increased by 14.8% to $274.988 million ($31.004 million).

At the same time, it reduced imports of lead and lead products by 63.6% to $872 thousand ($151 thousand), imports of tin and tin products by 26.4% to $2.052 million ($419 thousand), but increased imports of zinc and zinc products by 20.4% to $33.988 million ($5.213 million).

Exports of aluminum and aluminum products in January-September of this year decreased by 5.6% compared to the same period last year to $71.630 million (in September – $8.344 million), lead and lead products increased by 19.4% to $11.190 million ($1.324 million), nickel and nickel products amounted to $256 thousand ($55 thousand), while in 9 months. 2022 it was $1,079 million.

Zinc was exported abroad for $88 thousand over nine months (no deliveries were made in September) against $1.302 million in January-September 2022. Exports of tin and products amounted to $57 thousand ($3 thousand in September) against $420 thousand in 9M2022.

As reported, in 2022, Ukrainian enterprises reduced imports of copper and copper products in value terms by 64.3% compared to the previous year – to $65.370 million, while their exports decreased by 56.3% to $90.245 million.

In addition, in 2022, Ukraine reduced imports of nickel and nickel products by 49.9% compared to 2021, to $59.754 million, and aluminum and aluminum products by 33.4%, to $340.398 million. At the same time, it reduced imports of lead and lead products by 66.6%, to $2.839 million.

Imports of tin and tin products fell by 33.5% to $3.312 million, and imports of zinc and zinc products decreased by 58.7% to $38.690 million.

In 2022, exports of aluminum and aluminum products decreased by 42.7% compared to 2021, to $96.972 million, lead and lead products – by 68.7%, to $11.970 million, and nickel and nickel products – by 73.9%, to $1.268 million.

Zinc exports in 2022 amounted to $1.331 million, while in 2021 they amounted to $550 thousand. Exports of tin and products in 2022 amounted to $424 thousand, compared to $346 thousand in the previous year.

COPPER, IMPORT

Ukraine cuts foreign exchange earnings from ferrous metal exports by 47.6%

In January-September of this year, Ukraine’s steelmaking companies reduced their earnings from ferrous metal exports by 47.6% year-on-year to $2 billion 79.713 million.

According to statistics released by the State Customs Service (SCS), ferrous metals accounted for 7.66% of total export revenues during this period, while in the first nine months of 2022, the share was 11.99%.

In September, revenues from exports of ferrous metals amounted to $258.675 million, while in the previous month – $200.016 million.

At the same time, Ukraine increased imports of similar products by 46.7% to $979.035 million in the first nine months of this year. In September, products worth $123.751 million were imported.

In addition, in January-September, Ukraine reduced exports of metal products by 13.8% year-on-year to $693.984 million. In September, exports were worth $68.742 million.

At the same time, imports of steel products increased by 29.4% to $605.218 million over the same period. In September, Ukraine received $89.645 million worth of these products.

As reported earlier, in 2022, Ukraine’s steelmaking companies reduced revenues from ferrous metal exports by 67.5% compared to 2021, to $4 billion 533.088 million. During this period, ferrous metals accounted for 10.26% of total revenues from exports of goods, compared to 20.49% in 2021. At the same time, last year Ukraine reduced imports of similar products by 38.3% to $954.387 million.

In addition, in 2022, Ukraine reduced exports of metal products by 18.6% to $1 billion 52.512 million. Imports of metal products fell by 42.9% to $643.162 million over the year.

EXPORT, FERROUS METAL, FOREIGN EXCHANGE

AMCU allows MasterCard and Visa to reduce interchange rate to 0.7%

The Antimonopoly Committee of Ukraine has granted permission to MasterCard Europe S.A. and Visa International Service Association to reduce the amount of domestic interchange fees (interchange rate) paid by an acquirer to an issuer in Ukraine from 0.9% to 0.7% for the period of war.

“The planned changes in concerted actions are aimed at establishing an effective and balanced ceiling on interchange rates, taking into account the interests of all market participants under martial law,” the AMC commented on its decision of 5 October.

The Committee expects that these changes will allow retail chains to maintain the current price level for consumers, as well as contribute to the development of small and medium-sized entrepreneurs and the overall economic development of Ukraine.

The agency clarified that the 0.7% rate will be effective “not earlier than the next business day after 14 calendar days after the date of receipt of the Committee’s authorization until the next business day after 30 calendar days from the date of termination or cancellation of martial law.”

It is noted that after this period, MasterCard and Visa will return to the 0.9% rate agreed with the AMCU before the war.

“The introduction of a further reduction in the interbank commission is an attempt by government agencies and other industry representatives to respond to a request for assistance to retailers who have suffered significant economic losses caused by the war,” the AMCU said.

As reported, a memorandum signed in May 2021 between MasterCard, Visa and the NBU provided for the interchange rate to be set at 1.2% from July 1, 2021, and its gradual reduction, in particular from July 1, 2023, from 1% to 0.9%.

However, during the war, the rate was first reset to zero and then gradually increased to 0.7%. The decision of Visa and MasterCard to return it to 0.9% on July 1 this year was sharply criticized by retailers. The largest banks in the market – PrivatBank, Oschadbank and Raiffeisen Bank – for their part, kept acquiring rates for their clients unchanged (approximately 1.3-1.5%), but called on MasterCard and Visa to support this initiative and cancel the interchange rate increase from July 1, 2023 to 0.9%.

However, Oschadbank noted that “if payment systems do not reduce the interchange rate within one to two months, the bank will reconsider its decision.”

According to the NBU, the share of payment terminals of PrivatBank, Oschadbank and Raiffeisen Bank at the beginning of the year was 60.4%, 19.6% and 7.6%, respectively.

AMCU, MASTERCARD, VISA

Experts Club analytical center, Adonis medical group hold seminar on pre-medical care for teachers

The Experts Club analytical center and the Adonis medical group held a seminar on providing pre-medical care for teachers.

According to a press release, the workshop was designed taking into account the current situation and the importance of ensuring the safety of students and is designed to provide teachers with the necessary skills to provide first aid in the event of injuries.

“With the beginning of the new school year in Ukraine, new rules came into force, providing for different modes of education depending on the level of security in different regions. These measures were introduced in response to the high level of danger. Training teachers and educators to provide first aid to children is an important initiative aimed at ensuring safety in educational institutions,” the press release emphasizes.

Experts Club founder Maksim Urakin emphasized that teachers play a key role in the lives of children, and knowledge of pre-medical care skills is part of education, which can save lives.

In turn, Tetiana Lahovska, the executive director of the Irpin Community Foundation, which acted as a partner in the seminar, noted that “the main thing in pre-medical care is the speed of action to stabilize the victim’s condition.”

Experts Club and Adonis promise to continue to support and implement similar educational initiatives.

The training was attended by university and school teachers in Kyiv and Bucha district of Kyiv region.

EXPERTS CLUB, medical group, SEMINAR, TEACHERS, URAKIN, АДОНИС

High Anti-Corruption Court closes “Rotterdam+” case

The High Anti-Corruption Court (HACC) has closed the Rotterdam+ case due to the expiration of the pre-trial investigation, and the Specialized Anti-Corruption Prosecutor’s Office (SAPO) will appeal this decision.
“On October 9, 2023, during the preparatory hearing, the HACCJ panel of judges decided to close the Rotterdam+ case on the basis of clause 10, part 1, article 284 of the CPC of Ukraine, that is, due to the expiration of the pre-trial investigation period specified in article 219 of this Code after serving a person with a notice of suspicion,” the SAPO said on its Telegram channel on Monday.
According to the prosecutor’s office, the decision was made with a dissenting opinion of one of the judges of the panel. “The SAPO prosecutor does not agree with this court decision and will appeal it to the court of appeal,” the statement said.
The SAPO reminds that on March 14, 2023, SAPO prosecutors, based on the results of the NABU investigation, sent an indictment to the court against 6 people involved in the introduction of the so-called Rotterdam+ formula.
According to the investigation, the formula resulted in UAH 19.357 billion in losses to electricity consumers in 2016-2017. The prosecutor also filed a civil claim for compensation for damages caused by the criminal offense to the state in the amount of UAH 19.357 billion.
The full text of the decision will be announced on October 13, 2023 at 15.30.

HACC, Роттердам+

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