Business news from Ukraine

Business news from Ukraine

INTERNATIONAL AIRPORT IN DNIPRO TO BE RECONSTRUCTED

The Cabinet of Ministers of Ukraine has sent UAH 200 million for reconstruction of a runway of the international airport in Dnipro, according to a posting on the website of the Infrastructure Ministry of Ukraine. The decision was made at a government meeting on Wednesday.
“The Infrastructure Ministry supported the proposal of the Prime Minister of Ukraine and tabled for approval by the government the proposal to allocate UAH 200 million for the reconstruction of the runway of the airport in Dnipro. I support the fact that next year the airport in Dnipro could service the first flights of Ryanair and other European and Ukrainian airlines, including SkyUp,” the press service said, citing Infrastructure Minister Volodymyr Omelyan.
As reported, the Infrastructure Ministry of Ukraine supported the allocation of UAH 1 billion from the 2019 national budget for the construction of a new runway at the international airport in Dnipro within the framework of a public-private partnership project under which a private investor would build a new terminal and put it into service in 2020.
Ukrainian businessman, owner of the DCH Group Oleksandr Yaroslavsky, who had earlier invested in the renovation of the Kharkiv International Airport, has announced his plans to modernize the international airport in Dnipro.
Dnipro Mayor Borys Filatov called on Ukrainian President Petro Poroshenko to influence the situation with the airport in Dnipro.
The Dnipropetrovsk International Airport was founded in 1943. It became an independent enterprise in 2011. The airport is located five kilometers southeastward from Dnipro.

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BORYSPIL INTERNATIONAL AIRPORT (KYIV) INCREASES PASSENGER FLOW BY 18% IN JAN-MAY

The Boryspil International Airport (Kyiv) in January-May 2019 increased passenger flow by 18.1% year-over-year, to 5.168 million people, the airport’s press service has told Interfax-Ukraine.
At the same time, passenger traffic on international flights amounted to 4,755 million people (growth by 19.1%), on domestic – 412,900 (growth by 7.5%).
In general, in January-May 2019, the airport serviced 40,502 flights (an increase of 11.2%), including 35,215 international and 5,287 domestic flights.
In January-May 2019, on regular flights, the Boryspil airport received and sent 4.113 million people. (a rise of 21% over the same period in 2018), on irregular flights – 1.055 million people (a rise of 7%).
The number of transfer passengers since the beginning of 2019 amounted to 1.243 million, which is 6% more than in the same period of 2018. The share of transfer passengers of the total passenger traffic was 24% (a decrease of 3 percentage points).
In May of this year, the passenger traffic of the Boryspil airport amounted to 1.358 million people, which is 20.5% more than in May last year.
Passenger traffic on international flights in May amounted to 1.262 million passengers (an increase of 21.3%), on domestic flights – 6,000 (an increase of 11.2%).
In general, in May, the airport serviced 9,943 flights (an increase of 14.7%), including 8,735 international and 1,208 domestic flights.
The most popular destinations in May were Sharm el-Sheikh, Antalya, Tel Aviv, Istanbul and Hurghada.

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ZAPORIZHIA AIRPORT INCREASES PASSENGER FLOW BY 40%

The passenger flow of the Zaporizhia international airport in May 2019 totaled 50,000 people, which is almost 40% more than a year ago.
According to a posting on the website of the airport, almost 40,000 passengers (a rise of 40%) were serviced on international routes, and 9,700 passengers (a rise of 35%) on domestic routes.
In January-May 2019, a total of 185,000 passengers used the airport’s services, which is 20% more than a year ago. Over 136,500 persons were serviced on international flights and almost 50,000 – on domestic flights.
As reported, the Zaporizhia airport serviced 400,300 passengers in 2018, which is 15% more than in 2017.

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LVIV AIRPORT RAISES PASSENGER TRAFFIC BY 50%

Passenger traffic at Lviv International Airport amounted to 197,700 people in May 2019, which is 49.4% more than in the same period of 2018, the airport said on Facebook.
The number of serviced flights last month increased by 32.1%, to 1,739. Some 1,506 passengers were transported on international flights (up by 36.7%), while 233,000 people (a growth of 8.9%) on domestic flights.
In January-May 2019, some 722,300 passengers travelled through the airport, which is 51.2% more than in the same period of 2018.
The number of flights in January-May reached 6,820, which is 28.9% more than in January-May last year.
As reported, in 2018 the airport increased passenger traffic by 48% compared with 2017, to 1.598 million people.

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BORYSPIL AIRPORT PLANS TO REPAY UAH 3.6 BLN OF LOAN TO JAPAN BANK FOR INTERNATIONAL COOPERATION BEFORE 2032

State-owned enterprise (SOE) Boryspil International Airport (Kyiv region) plans to repay UAH 3.6 billion of debt under a state-secured loan of the Japan Bank for International Cooperation (JBIC) received 10 years ago to build Terminal D in accordance with the issue terms.
“It remains for us to pay the Japanese bank UAH 3.6 billion at the current hryvnia exchange rate, which was attracted to build Terminal D. We paid about 20%,” Deputy Director General for Economics and Finance of the Boryspil airport Kyrylo Zvonarev said at a press conference at the airport on Thursday.
According to him, the total amount of the loan at the current exchange rate is almost UAH 5 billion and approximately UAH 1.4 billion was paid. He also said that according to the payment plan, the airport will repay the loan before 2032.
“Twice a year we have to pay approximately UAH 150 million,” the deputy director said.
At the same time, Zvonarev expressed concern that setting a rate of transfer to the national budget of the company’s net profit at 90% could put at risk the repayment of the said loan.

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KYIV INTERNATIONAL AIRPORT DOUBLES CAPACITY AFTER RECONSTRUCTION

Kyiv International Airport (Zhuliany) has doubled its capacity due to the expansion of main Terminal A by another 9,500 square meters, to 23,700 square meters, co-owner of the airport Denys Kostrzhevsky has said, when opening the terminal.
According to him, the reconstruction of the terminal cost UAH 630 million.
He noted that the airport also doubled the number of check-in counters and passport control desks.
According to an Interfax-Ukraine correspondent, 23 registration desks and nine aviation security oversight stations are located on the ground floor of the new facility of the terminal. A new parking lot for 135 cars was built on the square near the airport.
Terminal A will include a Duty Free shop, a WOG cafe, three restaurants and several souvenir shops.
According to the expert, the airport plans to further expand the terminal.
“The project includes the third stage of construction on the other side of the terminal, which will allow doubling the area of Terminal A,” he said without specifying the start of construction.
In addition, according to him, it is planned in two or three years to begin work on the extension of the runway.
“Now we are engaged in the allocation of land plots and design. In two or three years we will decide on the extension of the runway,” the businessman said.
At the same time, he found it difficult to predict the terms during which the investments made in the second stage of construction would be paid back.

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