Business news from Ukraine

PRIME MINISTER OF UKRAINE INSTRUCTS TO EXPLAIN LAND MARKET LAUNCH

Prime Minister Denys Shmyhal instructed the relevant ministries and departments to issue clarifications regarding the launch of the land market.
“In less than a week, the land market will start operating in Ukraine. We held a preparatory meeting with representatives of ministries, the President’s Office, the NSDC secretary and members of the specialized committees of the Verkhovna Rada,” Shmyhal wrote in his Telegram channel.
The prime minister said that he instructed the relevant departments to pay special attention to the process of starting the reform.
“He also instructed the Ministry of Agrarian Ministry, the Ministry of Justice and the State Tax Service to issue clarifications regarding the land market, the work of notaries and to maximize the resolution of issues that Ukrainians may have,” he said.

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NUMBER OF CIVIL SERVANTS IN UKRAINE TO BE DECREASED

Prime Minister of Ukraine Denys Shmyhal says that as a result of the public administration reform, the maximum number of civil servants in the central executive authorities and their territorial units should decrease by about 10%.
“Efficiency in the work of civil servants should be in the first place. The government is taking important steps to complete the reform of public administration. As part of this initiative, the maximum number of civil servants in the central administrative office and their territorial units should be reduced by about 10%,” Shmyhal said in the Telegram channel.
The prime minister said that a bill is also being prepared to reform the system of remuneration of civil servants based on the classification of positions, which will make it impossible to pay allowances to officials on a subjective basis and will increase the prestige of the civil service.
“The key steps in the implementation of the project were discussed at a meeting with the Secretariat of the Cabinet of Ministers, the Finance Ministry, the Ministry of Digital Transformation and the National Civil Service Agency. These four departments will be the first to introduce a new financial model. And then, the remuneration system should make money in other public institutions,” Shmyhal said.

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UKRAINE AND SLOVAKIA AGREE TO INTENSIFY COOPERATION

Prime Minister of Ukraine Denys Shmyhal and Prime Minister of the Slovak Republic Eduard Heger agreed on the need to intensify bilateral cooperation.
“Today we have agreed on the need to intensify our bilateral cooperation. Holding the next fifth meeting of the Ukrainian-Slovak combined commission on economic, industrial, scientific and technical cooperation will be an important step in assessing the state of trade between our countries,” Shmyhal said at a joint briefing with Heger in Kyiv on Friday.
In addition, the parties agreed to maximize the use of the transit potential of the countries. Shmyhal also noted that the introduction of joint border and customs control at the border is important for both countries.
Among other things, the parties agreed that cooperation between countries in the field of employment and labor migration requires additional attention from governments.

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SPANISH PRIME MINISTER PEDRO SANCHEZ TO VISIT UKRAINE

Deputy Foreign Minister of Ukraine Vasyl Bodnar discussed with Ambassador of Spain to Ukraine Silvia Cortes Martin the preparation of the visit to Ukraine of Prime Minister of Spain Pedro Sanchez and the holding of a large-scale business forum.
“Meeting with Spanish Ambassador to Ukraine Mrs. Silvia Cortes Martin. We focused on preparing Pedro Sanchez’ visit to Ukraine and holding a large-scale business forum. We have agreed to take measures to develop the legal framework,” Bodnar wrote on Twitter on Wednesday.
He also thanked the ambassador for Spain’s support for Ukraine’s European integration path.

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PRIME MINISTER OF UKRAINE DENYS SHMYHAL EXPECTS THAT THE OPENING OF A LAND MARKET IN THE COUNTRY WILL BRING $85 BILLION OF ADDITIONAL GDP IN 10 YEARS

Prime Minister of Ukraine Denys Shmyhal expects that the opening of a land market in the country will bring $85 billion of additional GDP in 10 years, and the average cost of land per 1 ha will increase fivefold.
“Ukraine has underutilized its land potential of $85 billion. In 29 years, free disposal of land has been limited, which means that its value has been underestimated several times. During this time, more than 5 million hectares of land have disappeared from the state. Development of irrigation and investment in agriculture has slowed down for decades, and partially stopped at all,” the prime minister said during the presentation of the Audit of the Ukrainian economy and vectors of economic development until 2030 in Kyiv on Friday.
According to the published document entitled “Audit of the Economy of Ukraine”, the fair value of Ukrainian land is currently $4,960 per hectare with a standard monetary value of $955 per hectare (2018).
At the same time, since the model of the land market adopted by the government has several fundamental restrictions (a ban on legal entities from buying land until 2024, a complete ban for foreigners, restrictions on the maximum areas to purchase), the price of land will not reach its fair value in the near future.
Thus, according to the land market model adopted by the Cabinet of Ministers, the price of one hectare is predicted to increase to $2,350 in the tenth year after the implementation of the reform.
Untapped potential of using water, forest resources in Ukraine is $12 bln, $40 bln respectively – PM.

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DEPUTY PRIME MINISTER FOR INDUSTRY MAY APPEAR IN UKRAINE

President of Ukraine Volodymyr Zelensky has said that the Deputy Prime Minister for Industrial Policy could appear in the government of Ukraine in a week.
“We decided to reinstate such a position as Deputy Prime Minister for Industrial Policy … We have already seen many really professional people. Now we are choosing the best candidate. Because for us both the country’s industry, the defense industry, the space industry, and all our enterprises, as one of the best candidates for this position said, is the country’s development strategy. For the country to really be industrial, to be a space country,” he said at a meeting with business representatives of Odesa region on Saturday.
Zelensky pointed out that in Ukraine there is a full cycle at many enterprises in order to build an industrially powerful country.

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