Business news from Ukraine

PRESIDENT OF UKRAINE OBLIGES CABINET OF MINISTERS TO SIMPLIFY PROVISION OF PUBLIC SERVICES

President of Ukraine Volodymyr Zelensky has instructed the Cabinet of Ministers to ensure a gradual transfer of certain public services to an electronic form, simplify the procedure of their provision and introduce an effective control mechanism.
According to presidential decree No. 647/2019 of September 4 on some measures to ensure the provision of high-quality public services, the government should introduce new approaches to the establishment and operation of administrative service centers, in particular, switch the provision of administrative services in regional and district state administrations to the administrative service centers of local self-governance bodies on the basis of the co-financing by the state of relevant expenses with the provision of an appropriate network of these centers and the availability of such services with the subsequent elimination of the obligation to form such centers at district state administrations. In addition, to send part of payment for the provision of administrative services for the logistics of the centers and remuneration to the administrators of such centers.
The document also raises the question of the appropriateness of the further provision of administrative services by state and municipal enterprises. It is proposed to resolve the issue of payment for administrative services by introducing uniform principles for determining the size of administrative fees for the services, the procedure for its payment and use.

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UKRAINIAN PRESIDENT PROPOSES IMPRISONMENT FROM 3 TO 7 YEARS FOR AMBER SMUGGLING

Ukrainian President Volodymyr Zelensky has proposed to punish for amber smuggling with imprisonment from three to seven years and introduce an article on illegal extraction of amber to the Criminal Code of Ukraine.
This is outlined in bill No. 2059 amending the Criminal Code of Ukraine on criminal liability for the illegal extraction of amber or its movement across the customs border of Ukraine registered by the head of state in parliament.
So, it is proposed to introduce Article 240-1 (illegal extraction of amber). This crime is punishable by a fine of 700 to 3,000 tax-free minimum incomes of citizens (1 minimum is UAH 17), or imprisonment for a term from one to three years.
“The sale, acquisition, storage, transfer, transportation, processing of illegally obtained amber shall be punishable by a fine of 3,000 to 10,000 tax-free minimum incomes of citizens, or by imprisonment for a term from three to six years,” the president said in the bill.
The same actions committed with prior conspiracy by a group of persons, either repeatedly or on a large scale, as well as illegal amber extraction committed on the territories or objects of the nature reserve fund, shall be punishable by imprisonment for a term from four to seven years.

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UKRAINIAN PRESIDENT SUGGESTS GIVING PEOPLE OF UKRAINE RIGHT OF LEGISLATIVE INITIATIVE

The right of legislative initiative in the Ukrainian parliament, which previously belonged to the president, the Cabinet of Ministers and members of parliament, may be given to the people of Ukraine, according to the text of bill No. 1015 changing Article 93 of the Constitution of Ukraine (on the people’s legislative initiative), submitted by Ukrainian President Volodymyr Zelensky on August 29.
The text of the document was posted on the Ukrainian parliament website on Friday.
The bill proposes including in Paragraph 1 of Article 93 of the Constitution the words that “the right of legislative initiative in the Verkhovna Rada belongs to the people, the president of Ukraine, the Cabinet of Ministers of Ukraine, members of parliament of Ukraine and is exercised by them in the situations and in accordance with the procedures determined by the Constitution and laws of Ukraine.”
The document proposes added to the Constitution a paragraph stating that “the law is adopted in accordance with the legislative procedure requirements determined by the Constitution and laws of Ukraine.”
According to the explanatory note attached to the bill, the purpose of the changes proposed by the bill is to ensure an effective mechanism of legislative initiative in Ukraine by broadening the list of its subjects.
The bill needs to be adopted because the list of subjects of the right of legislative initiative determined by the Constitution “is narrow and makes it impossible for the people of Ukraine as the only source of power to be such subject.”
Ukraine currently does not have a legislative mechanism for implementing the proposal to give the right of legislative initiative to the people.

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PRESIDENT OF UKRAINE ACCEPTS CREDENTIALS FROM AMBASSADORS OF GERMANY, FINLAND, KOREA, SOUTH AFRICAN REPUBLIC, SLOVENIA

President of Ukraine accepted credentials from ambassadors of a number of foreign states: the Republic of Korea – Chang-Kwon Chi, the South African Republic – Andre Johannes Groenewald, the Republic of Slovenia – Tomaz Menzin, the Federal Republic of Germany – Anka Feldhusen, the Republic of Finland – Päivi Maarit Laine. During the conversation with Ambassador of the Republic of Korea to Ukraine Chang-Kwon Chi, the parties discussed issues of strengthening political dialogue at the highest level between Ukraine and South Korea as well as prospects of trade, economic and investment cooperation, the presidential press service said on Wednesday.
“The issue of introducing a visa-free regime for Ukrainian citizens was discussed, which would facilitate the development of interpersonal contacts,” it says.
The president invited President of the Republic of Korea Mun Zhe Ying to visit Ukraine.
During the conversation with new Ambassador of the South African Republic to Ukraine Andre Johannes Groenewald, the president of Ukraine emphasized the importance of strengthening political dialogue.
According to Zelensky, Ukraine considers the South African Republic as a prospective partner in Africa and is focused on more intensive cooperation in all spheres.
“Special attention was paid to the discussion of trade and economic cooperation, in particular prospects of Ukrainian-South African business forum which would be held this year,” the message reads.
President of Ukraine spoke out about the establishment of closer and constructive bilateral cooperation between Ukraine and the Republic of South Africa within the framework of its non-permanent membership in the United Nations Security Council.
The president of Ukraine also invited President of the Republic of South Africa Matamela Cyril Ramaphosa to visit Ukraine in the framework of the official visit.
The president thanked Ambassador of the Republic of Finland to Ukraine Päivi Maarit Laine for consistent support of the territorial integrity and sovereignty of Ukraine, as well as the substantial humanitarian and expert assistance provided by Helsinki to Ukraine at the bilateral level. Particular attention was paid to the practical assistance provided by Finland in implementing systemic reforms, in particular in the field of school education and energy efficiency.
During the conversation with Ambassador of the Republic of Slovenia to Ukraine Tomaz Menzin the president of Ukraine thanked Slove nia for the consistent political support of the territorial integrity and sovereignty of Ukraine. Zelensky appreciated the assistance of Slovenia in promoting the rehabilitation of 400 children from Ukraine whose parents had died as a result of Russian aggression.
During the conversation with Ambassador of the Federal Republic of Germany Anka Feldhusen the head of state thanked the German side for the continued support of Ukraine in countering Russian aggression, as well as substantial financial and technical assistance to facilitate the process of structural reforms in Ukraine.
“During the meeting, the main focus was on discussing the security situation in Donbas and a set of further steps to revitalize the peace process. The importance of continuing international pressure on the Russian Federation to ensure its implementation of the decision of the International Tribunal for the Law of the Sea was emphasized,” the presidential website says.
President of Ukraine also expressed hopes for the preservation of the traditionally active political dialogue at the highest level in the future.
In addition, the parties discussed the issue of involving German business representatives to work in Ukraine and the creation of joint enterprises.

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PRESIDENT WANTS TO DISMISS VITALIY KLITSCHKO FROM POST OF KYIV STATE ADMINISTRATION HEAD

The Office of the President of Ukraine has asked the Cabinet of Ministers to submit a request for the dismissal of head of the Kyiv City State Administration Vitaliy Klitschko, press secretary of the Prime Minister Vasyl Riabchuk said.
“We’ve received such an appeal, now it is being processed in the prescribed manner,” Riabchuk told the Interfax-Ukraine news agency.

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OLEKSIY TYMOFEYEV PROMISES TO ATTRACT $100 MLN IN UKRAINE ON YEARLY BASIS IF PRESIDENT IMPLEMENTS REFORMS

The chief operating officer of U.S.-based Trident Acquisitions Corp., the ex-head of Smart-Holding, Oleksiy Tymofeyev, launches a challenge to attract investment in Ukraine if the Servant of the People party fulfills the promised reforms. “If Zelensky’s team fulfills its checklist of reforms, I pledge to personally bring to Ukraine at least $100 million in direct investment per year. Each has its own Ironman [the triathlon competition]. I have one,” he said on Facebook.
The candidate for people’s deputy from the Servant of the People party, David Arakhamiya [also knows as David Braun], who was appointed member of the Ukroboronprom supervisory board by the president of Ukraine in July, noted in his commentary to Tymofeyev “I’ll hold you to that!”
Chairman of the board of ATF Bank (Kazakhstan), the ex-director for business development at Nova Poshta, Serhiy Kovalenko, also said in comments that he is ready to support the initiative with an investment amount of $50 million.
The manager of the asset development and valuation department of DTEK Oil&Gas, Yuriy Moroz, in turn, wrote that he would run the Ironman competition if Tymofeyev attracts the promised investments.

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