Business news from Ukraine

Kyiv plans to create a Municipal Bank and apply for the withdrawal of the insolvent Sich Bank from the market, Deputy Head of the Kyiv City Military Administration Mykola Povoroznik said.
“The city invests in the bank in order to create on its basis the Municipal Bank of Kyiv for further transformation into a universal financial instrument of the city. The municipal bank is the best and most reliable instrument for project financing and work with international financial organizations by foreign investors-partners to finance the work to restore the infrastructure of the city and the economy as a whole,” Povoroznik was quoted by the press service of the department in a message on the website of the administration.
He noted that the purchase of the Sich bank would make it possible to acquire a financial institution for less money and not wait one and a half to two years to create a new bank.
“For the city, buying an existing bank and turning it into a Municipal bank, as well as maintaining it, will cost a year less than what is currently spent on service fees at other banks,” the deputy head added.
In addition, such a decision will allow saving jobs and fulfilling obligations to the bank’s customers in full, the message says.