Business news from Ukraine

DAMAGE TO UKRAINE’S INFRASTRUCTURE FROM WAR ALREADY AMOUNTS TO $63 BILLION – KYIV SCHOOL OF ECONOMICS

As of March 24, 2022, the KSE Institute estimated damage to Ukraine’s infrastructure from the war in the country at $62.9 billion, or UAH 1.8 trillion, while its analysts increased the amount by $3.5 billion over the past week, according to a press release. release of the analytical division of the Kiev School of Economics KSE Institute.
“Compared to the data released on March 17, taking into account the new received more accurate data on damage (as a result of which certain items of losses were revised downward), the net increase (in damages) was $ 3.5 billion,” according to the KSE Institute. on Friday, citing data analysis from the Russia Will Pay project.
Analysts estimate that since the beginning of Russia’s full-scale invasion of Ukraine on February 24, the occupiers have damaged, destroyed or seized at least 4,431 residential buildings, 92 factories or businesses, 378 educational institutions, 138 healthcare facilities, eight civilian airports and 10 military airfields, seven TPP and HPP.
At the same time, over the course of a week, analysts received more detailed data from the Ministry of Infrastructure on the destruction of infrastructure facilities, on the basis of which, in a number of areas – railway infrastructure, bridges and bridge crossings, civil airports – the damage assessment was reduced.

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KYIV MAKES INFRASTRUCTURE FOR IOT

Kyiv City State Administration has implemented a project to build a city backbone network and infrastructure for the implementation of the Internet of Things (IoT) technology.
According to Kyiv City State Administration, with reference to the chief digital transformationofficer of Kyiv (CDTO) Petro Olenych, this will allow monitoring the state of the environment, controlling the microclimate in schools or hospitals and improving the efficiency of public services.
“A smart city is impossible without the introduction of the Internet of Things technologies: traditional infrastructure, a network of connected sensors and a control system. Already, Kyiv is covered with a network for collecting and analyzing data – 295 base stations operate in all districts of the city for this. The next step is to install sensors on locations and information analysis,” he said.
Thanks to the LoRaWAN wireless communication technology, sensors can be used to obtain data with maximum energy efficiency, Oleh Polovinko, the director of the department of information and communication technologies of Kyiv City State Administration, explained.
It is planned that the sensors will be installed on gas pipelines, water pipes, electrical panels, etc.
One of the examples of the implementation of IoT in the city is “smart waste bins”.
“Sensors on the tanks will inform about the possible ignition of a fire in the container, display and predict the fullness using an ultrasonic signal. When the tank is full, the utilities will be notified about the need for garbage collection.
“What are the direct effects of these decisions on this example? Processes are becoming more economical: we do not drive a garbage truck around the city, but we can optimally build a route, saving both fuel and driver time,” he emphasized.
As reported, the mobile operator lifecell, together with the Internet of Things network operator using the LoRaWAN technology, the IoT Ukraine company and the integrator company Smart Eco Logic, launched a project of water supply account for Lutskvodokanal.

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KYIVSTAR PREPARING THE NETWORK FOR THE DIVERSIFICATION OF CRITICAL INFRASTRUCTURE

The Kyivstar mobile network operator is preparing the network to offset possible risks in operation, including geopolitical ones.
“We are taking certain steps to prepare, despite the fact that it is very difficult to predict which scenarios will develop. Therefore, we have two priorities – our people, business continuity and the provision of communication services. We are looking at critical infrastructure, on how they are located, and we are taking certain steps to achieve geographic diversification across critical nodes. We are even investing money in this – and quite a lot – in order to achieve a radical increase in network resilience depending on scenarios in the horizon of several weeks,” Kyivstar President Alexander Komarov told Interfax-Ukraine.
He also said that the operator is implementing a number of steps aimed at increasing the flexibility of managing its network, depending on possible threats. This is the organization of stocks of fuel and lubricants for generators, with which the operator plans to maintain the operation of critical network nodes in the event of a power outage, the implementation of the ability to turn off certain areas in the absence of control over the network in some geographical areas.
As reported, Ukrainian Foreign Minister Dmytro Kuleba thanked his British counterpart Liz Truss for the decision to impose large-scale sanctions against the Russian Federation.
The U.K. continues to show leadership in global efforts to deter Russia from further aggression, he said.

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PRESIDENT OF UKRAINE: WE SUCCEED IN INFRASTRUCTURE, DIGITALIZATION, POLITICS

President of Ukraine Volodymyr Zelensky has announced the success of infrastructure development in Ukraine, as well as digitalization, the press service of the president of Ukraine has reported.
“In these two and a half years, we have started the digitization of the state. We are number one in Europe today. And the Servant of the People party was involved in that as well,” the presidential press service quoted Zelensky as saying when speaking in Truskavets on Saturday, where a visiting session of the Servant of the People parliamentary faction was taking place.
Zelensky added that Ukraine is also the first in Europe in terms of road construction now. “Statistically, we build the most per month. Number one in Europe!” the President noted.
The Head of State also noted the liquidation of the State Architectural and Construction Inspectorate.
“So be a little proud of yourself and the difficult path. When we talk about land reform, there are many questions about how slow it is. But I believe that this is a challenge and a victory, on which I want to congratulate you,” the President said.
He noted that there are many challenges in the field of medicine in the country, which was affected by the COVID-19 pandemic. “But today I see a medical team. We have elected a minister, a committee is working, and we are ready for challenges,” Zelensky stressed.
The President also stressed that the Office of the President and the Ministry of Foreign Affairs have done a lot for Ukraine’s international agency, and this is the most important victory this year.
“A lot yet not enough. Why not enough? I will explain. We do not have time to expect that we will be taken to the European Union: ‘let’s wait another five years.’ You know we have a war. I do not want to complain. I think we are powerful. And today our policy is ‘brazen’. And I am convinced that without a strong international policy, without such ‘boldness’ no one will see Ukraine’s steps forward,” he said.
In addition, the presidential press service noted that working groups with the participation of deputies and ministers (eight clusters) on the details of the Plan of Transformation of the country initiated by him in the following areas: military security and international relations; energy independence and “green” transformation, human capital, technological development and market transformations, infrastructure and local development, food hub, digital hub and rule of law.
“These clusters contain goals and KPIs for relevant areas until 2023, projects and reforms to be implemented, and laws to be enacted,” the message reads.

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PROFIT OF UKRAINIAN PORTS SHOULD BE RETURNED TO CITIES FOR INFRASTRUCTURE DEVELOPMENT

The profits of ports should be returned to the cities in which they are located for the development of their infrastructure, Mykolaiv Mayor Oleksandr Senkevych has told Interfax-Ukraine on the sidelines of the International Mayors Summit (IMS).
“Mykolaiv was a city of shipbuilders. Now the factories are standing idle, Mykolaiv has turned into a port city. However, we do not receive money from the port infrastructure to the local budget, except for personal income tax and land lease,” Senkevych said.
He recalled that last year the net profit of the Ukrainian Sea Ports Authority amounted to more than UAH 2.6 billion.
“I think that this amount needs to be “halved.” Half of the profits is to be divided between the port cities, in proportion to the transshipment of goods. Cities should receive a portion of what they have earned for the country. Then we will be able to restore our infrastructure,” he said.
In his opinion, it will be possible to talk about the restoration of production and the attraction of significant investments in shipbuilding after the adoption of a law on technology parks. Senkevych considers promising a mechanism for the establishment of tax credits and preferential rates by local governments.
“Roughly speaking: they built a plant for EUR 100 million, you are provided with a tax credit for 50% of this amount for five to seven years. Personal income tax and land tax are paid from this amount. It is profitable for the enterprise to work officially, pay high salaries to employees,” Senkevych said.

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CHINA AND UKRAINE AGREE TO COOPERATE IN INFRASTRUCTURE CONSTRUCTION

Ukraine and China have signed an intergovernmental agreement providing for the expansion of cooperation between the two countries and the promotion of joint projects in the infrastructure construction sector, as well as the raising of Ukrainian funds on concessional terms from the People’s Republic of China.
According to the statement on the website of the Infrastructure Ministry of Ukraine on Tuesday, June 30, the relevant agreement was signed by Minister of Infrastructure Oleksandr Kubrakov and Minister of Commerce of the People’s Republic of China Wang Wentao.
Among the priorities of cooperation are rail transit, airports, ports, communications and municipal engineering.
Under the agreement, Ukraine and China will encourage companies and financial facilities in both countries to cooperate actively in the construction of infrastructure facilities, as well as to promote closer economic ties between the two countries and to provide necessary assistance and accompaniment in the implementation of joint projects.
The agreement also provides for the mobilization of funds on concessional terms from the Government of the People’s Republic of China necessary for the implementation of infrastructure projects.
As a result of the joint consultations, the sides will approve potential cooperation projects, which will be supported by PRC funds.

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