Business news from Ukraine

Business news from Ukraine

European Parliament to open office in Kyiv

The European Parliament has agreed to open an office in Kyiv at the request of Ukrainian President Volodymyr Zelenskyy.
According to the European publication Euractiv, this is stated in a document of the European Parliament’s bureau.
The decision, approved on Monday evening, is intended to facilitate relations with the Ukrainian parliament, in particular, to establish its contacts with the “relevant committees” of the European Parliament, as well as to facilitate administrative work.
The Bureau is the body of the European Parliament responsible for making administrative decisions on the internal functioning of the institution.
Reportedly, the European Parliament has a liaison office for each member state, which helps the parliament to establish links with them, for example, by communicating with stakeholders, organizing events and maintaining links with local media.

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More than 40 thousand square meters of office space to be commissioned in Kyiv in 2023

In Kyiv, 42 thousand square meters of office space is expected to be commissioned by the end of the year, according to CBRE Ukraine’s office real estate market research.

According to the study, in the first half of 2023, only one small office building Unit.City B4 (13.2 thousand square meters) was commissioned. The total volume of competitive office space remained almost unchanged at 2.22 million sq m.

It is expected that in the second half of 2023, about 42 thousand sq m will be commissioned in four business centers. At the same time, BC Twelve (14 thousand sq m) and BC Heritage (16.8 thousand sq m) account for 73% of the new supply. CBRE Ukraine does not rule out delays in construction and commissioning.

The study states that the full-scale war has reduced development activity in the office segment; the amount of office space under construction has decreased. In particular, several office projects originally scheduled for completion in 2023 have been suspended until at least 2024. At the same time, no new development projects were recorded in 2022, and it is unlikely that they will appear before the end of 2023. Therefore, it is predicted that over the next two to three years, the volume of office real estate can only grow if suspended development projects are restarted.

CBRE, headquartered in Los Angeles (USA), is the world’s largest commercial real estate consulting and investment company, with revenues of $30.8 billion in 2022. According to Fortune, it is one of the world’s 500 largest companies.

CBRE Group Inc. shares are traded on the New York Stock Exchange.

CBRE’s Ukrainian office was opened in January 2008 and is part of the company’s affiliate network.

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“Nova Post” has opened second post office in Lithuania

Nova Posta LLC, the leader of express delivery in Ukraine, has opened the second Nova Post post office in Kaunas, Lithuania, the company’s press service said Monday.
In the department you can send and receive parcels and freight up to 1 thousand kg, as well as documents. The delivery time is five working days.
“This is already the second Nova Post branch in Lithuania. Now, in addition to courier delivery, Ukrainians from Kaunas and nearby cities have an opportunity to easily send things home and quickly receive parcels from Ukraine through the branch,” reads the report.
The first Nova Post branch in Lithuania was opened in Vilnius in March. It is noted that Ukrainians most often send documents, clothes, shoes, cosmetics and books.
Also, in addition to delivery to the offices, you can order addressed delivery to any city in Lithuania or Ukraine, the press service specified.
It was informed earlier that Nova Posta Company has corrected its plans concerning the entering to the new markets of Europe and plans to open departments in Germany after the opening of the first two departments in Prague (Czech Republic).
Founded in 2001 Nova Posta is the leader in the market of express-delivery in Ukraine. Its network consists of more than 6 thousand offices all over the country.
“Nova Posta provides a full range of logistics and related services.
It includes Ukrainian and foreign companies, including Nova Posta, NP Logistik, Post Finance (Forpost system) and Nova Posta Global.

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Ukrainian GlobalLogic opens office in Romania

Ukrainian GlobalLogic, an IT company of the Hitachi group, has announced the acquisition of Fortech, a leading Romanian software development company.
Fortech is headquartered in Cluj-Napoca and is one of the largest digital engineering companies in Romania, GlobalLogic said on Wednesday.
The terms of the transaction were not disclosed. Under the agreement, Fortech will continue to operate with its existing leadership and staff as a wholly owned subsidiary of GlobalLogic. The transaction is subject to customary regulatory approval and is expected to close by the end of Calendar Q4, 2022. The transaction will strengthen GlobalLogic’s presence in Europe by opening up access to Romania’s strong talent pool and Blue-Chip’s customer base.
In addition, GlobalLogic has opened an office in Bucharest and is inviting engineers to join the company in Romania.
“Fortech is a leading firm with proven track record and specialization in technology that is needed for digital evolution. This acquisition will further enhance GlobalLogic’s presence in Europe and accelerate our access to the rich technical talent in Romania; it will arm Fortech with the resources and strong backing of GlobalLogic and Hitachi,” Nitesh Banga, President and CEO of GlobalLogic, said.
Fortech was founded in 2003, and it cooperates with more than 1,100 specialists. With offices in four cities in Romania, it provides a full range of digital engineering services including architecture design, software development, DevOps, QA and data analytics. It specializes in Cloud, IOT and SaaS.
The press release states that GlobalLogic’s investment in Fortech is part of the company’s multi-year strategy to increase its value in the European market and help better serve customers around the world.

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The UN plans to open an office of the food organization FAO in Ukraine in Kyiv

The Cabinet of Ministers of Ukraine has agreed on the signing of an agreement between the government of the country and the Food and Agriculture Organization of the United Nations (FAO) on the establishment of a project office in the country to provide it with technical and humanitarian assistance in the face of Russian military aggression.

As reported on the website of the Ministry of Economy of Ukraine on Tuesday, the Cabinet of Ministers on September 27 authorized First Vice Prime Minister – Minister of Economy Yulia Sviridenko to sign this agreement.

“Ukraine has long and fruitfully cooperated with the FAO, an organization whose mission is to fight hunger around the world. Our state has been and remains the breadbasket of Europe and the world, but because of the war unleashed by Russia, we already need help. FAO provides it, in in particular, by implementing jointly with the governments of the partner countries programs to support Ukrainian farmers,” Sviridenko was quoted as saying by the ministry.

It is specified that with the start of a full-scale invasion of the Russian Federation into Ukraine, FAO has updated a rapid response plan to help Ukrainian small and medium-sized farmers and agricultural producers. As of mid-August, the organization provided emergency assistance in the form of seed material and cash for 80,000 people in 13 regions of Ukraine.

In addition, FAO and the Government of Ukraine, with the financial support of Japan and Canada, are implementing projects to restore grain storage capacities in the warring country, which provide for the supply of equipment for loading and unloading grain, modular storage containers, etc. to Ukrainian farmers from 10 regions.

According to the Ministry of Economy, the implementation of a rapid response plan and a strategy to increase grain storage capacity in Ukraine will cost FAO and its partners a total of $180.4 million.

“The adoption of the Agreement and the creation of an FAO office in Ukraine will allow raising cooperation to a higher level … We expect closer coordination in matters of grain exports. Ukraine will continue to help countries where the issue of food is acute. In the future, cooperation will contribute to the growth of Ukrainian exports and the achievement of our the goal is to create an export-oriented economy with high added value,” Sviridenko summed up in the message of the Ministry of Economy.

FAO is a UN agency dedicated to ensuring world food security, improving nutrition and living standards in its member countries. The organization consists of 194 countries, Ukraine joined it in 2003.

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Ukrainian IT company opens office in Japan

Ukrainian IT company CHI Software has opened an office in Kobe (Japan).
“Over the past year, with the support of Ukrainian diplomats, the IT Ukraine Association, together with the government of Kobe, organized a number of meetings and webinars, where the Japanese side got acquainted with technological solutions and high-quality IT services from Ukraine. The result of cooperation was the opening of an office of the Ukrainian IT company CHI Software in Kobe,” a statement on the Foreign Ministry’s website said on Thursday.
According to the Minister of Foreign Affairs of Ukraine Dmytro Kuleba, the Ministry of Foreign Affairs began to systematically create new opportunities for cooperation with foreign partners for Ukrainian IT companies back in the spring of last year.
“This work brings results that have become especially relevant during a full-scale war. After all, the stability of the Ukrainian economy is extremely important for winning the war, and every successful negotiation, every new contract, every open office further strengthens it. Ukrainian diplomats are making every effort to provide assistance business and work for results together with exporters,” Kuleba said.
The IT Export Boost project started on March 5, 2021. Its main task is to promote IT exports in foreign markets thanks to the capabilities of the network of diplomatic missions of the Ministry of Foreign Affairs of Ukraine abroad.
The IT Ukraine Association is the largest specialized association of Ukrainian service and product companies of various sizes in Ukraine. As of December 2021, she represented 120 companies and over 82,000 IT professionals. The task of the association is to provide favorable conditions for the sustainable development of the information technology sector in the country.

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