Business news from Ukraine

Business news from Ukraine

“VUSO” will insure Ukrgasvydobuvannya vehicles

On September 8, PJSC Ukrhazvydobuvannya (Kyiv) announced its intention to enter into a contract with VUSO Insurance Company (Kyiv) for compulsory civil liability insurance of owners of land vehicles (CMTPL).

As reported in the system of electronic public procurement Prozorro, the company’s price offer was the lowest – UAH 1.099 mln against UAH 4.424 mln expected cost.

The tender was also attended by NJSIC ‘Oranta’ – UAH 1,143 mln and IC ‘Universalna’ – UAH 1,309 mln.

IC “VUSO” was founded in 2001. The company owns 50 licenses: 34 – for voluntary and 16 – for compulsory types of insurance. It is represented in all regions of Ukraine. It is a member of the ITSBU and the FSA, a participant of the Agreement on direct settlement of losses and a member of the Nuclear Insurance Pool.

Ukrzaliznytsia to hold auctions for businesses to rent space at railway stations

JSC “Ukrzaliznytsia” (UZ) announced online auctions for the lease of space at 21 railway stations. It is planned to put on Prozorro.Sales 53 objects, including at the stations in Kiev, Lviv, Uzhgorod, Truskavets, Krivoy Rog, Dnipro, Odessa, reported UZ on the page in Facebook.

“Ukrzaliznytsia stations continue to open their doors for business: online auctions for the lease of space at 21 stations have been announced. Food courts, cafes, bookstores, pharmacies, financial zones, beauty salons, flower stores…. We are confident that the changes are overdue, and they must be transparent,” the statement said.

The first online auctions in the Prozorro.Sales system will take place already on September 18. Winners of electronic bidding will be able to conclude lease agreements for two years and 360 days with the possibility of prolongation. At the first stage will be exhibited mainly zones with a small area, designed for vending machines, coffee machines, ATMs and terminals. In Kiev, zones for five ATMs and cafes are offered for rent.

UZ noted that they have studied the experience of train stations and airports in Europe, attracted local businesses and architects for consultations. In cooperation with Urban Experts, they defined the principles of zoning and a list of services that should be mandatory for railway stations.

,

Kyiv Mayor Klitschko calls on Germany to increase assistance to Ukraine

Kyiv Mayor Vitali Klitschko attended the Bild 100 event in Berlin, which brings together the most influential people in Germany.

“During our speeches, we talked about the assistance that is vital for Ukraine’s fight and victory today. And I took this opportunity to appeal to German Chancellor Olaf Scholz, who was also present, to provide Ukraine with long-range Taurus missiles as soon as possible,” he wrote on his Telegram channel.

Klitschko added that this is necessary to protect the freedom not only of Ukraine but also the security of the entire civilized world.

Biden appoints US special representative for Ukraine’s economic recovery

US President Joe Biden on Thursday, September 14, announced the appointment of Penny Pritzker as US special representative for Ukraine’s economic recovery, US Secretary of State Anthony Blinken said in a statement.

It is noted that in this position, Pritzker will work with the Ukrainian government, the G7, the EU, international financial institutions, international partners and the U.S. private sector “to help shape Ukraine’s future as a prosperous, secure, European democracy.”

The Special Representative will lead efforts to shape donor priorities through the Interagency Donor Coordination Platform to align them with Ukraine’s needs and encourage international partners to increase their support for Ukraine. She will also work closely with the Ukrainian government, which is stepping up reforms needed to open export markets, attract foreign direct investment, and accelerate economic recovery.

The State Department emphasized that Pritzker has extensive experience in the private sector, serving as U.S. Secretary of Commerce, and personal ties to Ukraine and the Ukrainian diaspora.

“Her family hails from the village of Velykye Pritzky near Kiev, where she owned a granary more than 100 years ago before emigrating to the United States. Ms. Pritzker is a deeply committed leader who is trusted across the political spectrum for her proven track record of achieving positive results,” the statement said.

Blinken said the appointment of the Special Representative demonstrates the U.S. commitment to strengthening Ukraine’s European future and is in line with the new economic and security commitments announced at the Ukraine Recovery Conference in London and Vilnius.

“I welcome Special Representative Pritzker to this position and express my deep appreciation for her resumption of public service,” the Secretary of State concluded.

Zelenskyy meets with representatives of Korean business

Ukrainian President Volodymyr Zelenskyy has held a meeting with Korean Minister of Land, Infrastructure and Transport Won Hee-ryong and representatives of Korean business.

During the meeting, the head of state conveyed his gratitude to the government of the Republic of Korea for the decision to provide Ukraine with financial support in the amount of 2.3 billion dollars for post-war reconstruction.

“I think this will give a boost to the development of Ukrainian infrastructure,” Zelensky said and added that it is important for Ukraine that representatives of Korean business actively work on the Ukrainian market and participate in the implementation of projects in the development of nuclear and renewable energy, machine building, automotive industry, lithium mining, oil refining, “green” metallurgy, railway transport, and others.

“It is important that they (Korean businesses – IF-U) feel my personal support. We are interested in you entering more deeply into the Ukrainian economy,” he said.

As the president emphasised, such cooperation will allow Ukraine to provide new jobs and new economic growth both for itself and for the Republic of Korea.

Zelensky also expressed gratitude to the Korean side for supporting the initiatives of the First Lady of Ukraine when she was on a visit to the Republic of Korea.

For his part, Korean Minister of Land, Infrastructure and Transport Won Hee-ryong stressed that Korea stands for peace and defence of Ukrainian sovereignty, as well as for countering Russia’s illegal invasion.

He also noted that the visit of representatives of the Korean government and business to Kiev was a direct demonstration of support for Ukraine.

In addition, the minister expressed his belief that bilateral cooperation could be expanded in various areas of common interests.

According to the press service of the Ukrainian president, the parties signed an agreement between the governments on loans from the Economic Development and Cooperation Fund (EDCF). The agreement provides for the possibility of granting favourable loans for the implementation of projects in Ukraine with the participation of Korean companies. The document was signed by First Deputy Prime Minister and Economics Minister Yuliya Sviridenko on the Ukrainian side and Ambassador of the Republic of Korea to Ukraine Kim Hyong-Tae on the Korean side.

,

Economy Ministry forecasts acceleration of Ukraine’s GDP growth to 5%

The gross domestic product (GDP) of Ukraine after a decrease in the first quarter of 2023 by 10.5% against the first quarter of 2022 in the second and third quarters switched to growth, is indicated in the explanatory note to the government’s draft state budget for 2024.

“According to estimates of the Ministry of Economy, at the end of eight months, growth is 3%,” the document says.

According to it, “certain types of economic activities” managed to quickly adapt to the consequences of the destruction of the dam of the Kakhovskaya HPP.

“Better than expected results of economic activity are due to the rapid adaptation of enterprises to the new conditions of activity together with the recovery of domestic demand, which was the traditional driver of growth of the Ukrainian economy in previous years,” – noted in the explanatory note.

First Deputy Prime Minister and Minister of Economy Yulia Sviridenko announced last week that the forecast for GDP growth in 2023 had been raised to 4%, but the explanatory note still says that the economy will grow by 2.8% this year with inflation at 14.7%, although it fell to 8.6% in August.

According to the explanatory note, the Ministry of Economy as of mid-June this year predicted GDP growth next year by 5% with inflation falling to 10.8% at the end of the year.

The National Bank of Ukraine in late July raised its forecast for Ukraine’s GDP growth in 2023 from 2% to 2.9%, but lowered it for 2024 from 4.3% to 3.5%. In addition, the NBU improved its inflation estimate this year from 14.8% to 10.6%, and next year – to 8.5%.
Experts Club Research Project and Maxim Urakin recently released an analytical video about the economy of Ukraine and the world.

You can subscribe to the Experts Club YouTube channel by following the link – https://www.youtube.com/@ExpertsClub

, ,