Since January 2022, the National Bank of Ukraine (NBU) has been coordinating the positions of the chairman of the board (sole executive body), members of the board, chief accountant, chairman and members of the supervisory board of insurance companies from January 2022 in accordance with license terms, the regulator has told Interfax-Ukraine.
“Persons in these positions do not require the appropriate approval before the expiration of their tenure,” the NBU said in a statement.
In addition, the law on insurance from January 1, 2024 introduces separate requirements for the management of the insurer, namely the chairman of the supervisory board, his deputies and members of the supervisory board, the chairman of the board (director general), his deputies and members of the board (directorate), chief accountant. In relation to these persons, as well as the chief risk manager, chief compliance manager, chief internal auditor and responsible actuary of the insurer, qualification requirements for business reputation and professional suitability are established. In respect of the independent director of the insurer, independence requirements are also introduced. Qualification requirements will be determined at the level of the normative legal act of the NBU.
The chief risk manager, chief compliance manager, chief internal auditor, responsible actuary, as well as individual heads of the insurer – the chairman of the board (director general), chief accountant, chairman and members of the supervisory board – will take office after receiving the approval of the National Bank. With regard to other managers, insurers will be able to either obtain approval before they are appointed/elected to a position, or submit documents for approval to the NBU within one month after appointment/election to the position.
In addition, the law on insurance introduces requirements for the collective suitability of the supervisory board and collegiate executive body of the insurer, which will also be effective from January 1, 2024. Collective suitability means that the members of the supervisory board or executive body have the general/cumulative knowledge, skills, professional and managerial experience to the extent necessary to understand all aspects of the insurer’s activities, adequately assess risks, make informed decisions, etc.
The National Bank will establish the requirements and procedure for assessing the collective suitability of the supervisory board and the executive body. The NBU will carry out an appropriate assessment taking into account the size of the insurer, the volumes and types of operations carried out by it, the organizational structure, the risk profile, etc. The regulator also determines the existence of collective suitability when considering the package of documents for obtaining a license. Based on the results of such an assessment, the National Bank will have the right to demand changes in the personal composition of the supervisory board or the executive body.
Ukrainian entrepreneurs Vasyl Khmelnytsky and Andriy Ivanov have reached an agreement on splitting management of joint investment projects, in particular, Ivanov’s Quarter Partners will manage investments in the projects of UDP development company and the Kyiv airport, while Khmelnytsky via UFuture remains the majority shareholder of these companies with the power of veto.According to a joint press release issued on Thursday, UFuture holding company controls interests in all joint businesses and social projects of Khmelnytsky and Quarter Partners investment fund – in the projects of Ivanov. “We are in the final stage of restructuring and managing our investments. Today, I focus on global innovation and impact projects that are changing the country,” Khmelnytsky said.
He said that they are UNIT.City in Kyiv and Kharkiv, Biopharma, Bila Tserkva Industrial Park, Kyiv International Economic Forum, and the others.
“I have founded Quarter Partners as a new-model investment fund that combines both portfolio and venture capital projects. In addition to managing existing projects, our team is already looking for and developing promising new businesses, including startups,” Ivanov said.
He said that the focus is on IT-projects that can scale and complement each other, creating new value for their clients and society. There are many strong teams working here to develop high-quality products for consumers around the world, he said.
According to the press release, the management structure of Kyiv Airport and its development program have not changed, but UDP does intend to significantly enhance its profile activities. Conversely, UDP has changed its management structure and will announce several new projects in the near future.
Serhiy Bogoslavskyi, who has been working in the Ukrainian real estate market for over 15 years, has been appointed the President of UDP. Vitaliy Melnyk, CEO of UDP, will continue managing the development of innovative parks in Ukraine as UDP Vice President.
UFuture is a holding company of Ukrainian entrepreneur Vasyl Khmelnytsky that integrates his business and impact-investment projects. The company has a diversified portfolio of assets in the fields of real estate, infrastructure, industry, renewable energy, pharmaceuticals, and IT. Currently, UFuture’s assets are estimated at $550 million, and the total capitalization of the businesses it invested in is more than $1 billion.
UFuture is a majority shareholder in UDP development company (specializing in large infrastructure projects), Kyiv Sikorsky International Airport (the second international airport in Ukraine by passenger traffic), national operator of outdoor advertising RTM-Ukraine, and a group of IT companies and an ecosystem of tech solutions ITernal. UFuture is a strategic investor in the pharmaceutical company Biopharma and UDP Renewables, renewable energy investment and development company. UFuture is also developing new business projects including UNIT.City innovation parks in Kyiv and Kharkiv, LvivTech.City in Lviv; Bila Tserkva industrial park and a manufacturer of modern electrotechnical systems, Plank Electrotechnic.
UFuture supports social projects in the fields of education and economics, including the Kyiv International Economic Forum (KIEF), Lean Institute Ukraine, UNIT School of Business, UNIT Factory innovative IT-schools in Kyiv and Kharkiv, INDAX accelerator, Novopecherska School, the all-Ukrainian online platform iLearn, K.Fund Books and #bestread publishing projects.
Quarter Partners, a private fund that invests in businesses with a high potential for growth and then resells these businesses to strategic investors. It was founded as a diversified investment group in 1992. The fund has made large deals on attracting share capital as well as selling businesses to strategic investors. Today, Quarter Partners focuses on finding and developing IT-projects (eCommerce, MedTech, FoodTech, Logistics) as well as the projects in pharmaceuticals, infrastructure, and real estate.
The investment portfolio includes Kyiv Sikorsky International Airport, UDP development company, UDP Renewables, Biopharma pharmaceutical company, operator of outdoor advertising, RTM-Ukraine, as well as several venture projects in Ukraine and abroad. The total investment in these projects is $520 million.
Kyiv Mayor Vitali Klitschko has signed a Memorandum with the French company “Veolia Central & Eastern Europe S.A.” on cooperation in the field of solid waste management, the press service of the Kyiv city state administration has reported. “Kyiv is committed to working with reputable international companies with successful experience in implementing projects in the field of waste management. The Veolia Group is one of the world leaders in developing solutions for managing water supply systems, waste and energy. Therefore, I am pleased to announce that today we are signing a Memorandum of Cooperation with the French company Veolia Central & Eastern Europe S.A.,” Klitschko said.
The mayor of Kyiv noted that the capital has clear plans for a gradual departure from the technology of dumping garbage – both from an outdated and environmentally dangerous methodology.
In July, the city authorities intend to launch pilot projects on the separate collection of municipal solid waste in the capital.
“We plan to install up to 3,000 containers for individual fractions – plastic and glass. We met with the carriers of garbage and offered them to develop and implement a pilot project of separate collection in the territories where they work. It is very important that these are different models proposed by enterprises and we will determine the most effective ones,” he added.
The plans of the mayor include developing utility-type waste sorting, transferring of recycled materials for recycling, and also he plans to create a garbage processing complex with equipment for efficient processing of organic and other fractions.
“We plan to build a waste recycling complex, which will have a total processing capacity of 700,000 tonnes per year and will include a sorting stage. We plan to place this waste recycling plant next to the Energia plant, which will be made ecologically safe,” Klitschko said.
The Veolia company expressed hope that cooperation with Kyiv would be effective.