Economy

Wednesday, August 14

A large chain of supermarkets has invested more than ₴70M in energy efficiency and seeks $15M more for its further plans.

A large chain of supermarkets has invested more than ₴70M in energy efficiency and seeks $15M more for its further plans. Top manager of the Novus network, Dainius Tumėnas, said that Novus has already invested more than ₴70M in its energy efficiency program. Diesel generators are installed at 98% of facilities. One of th...

Tuesday, August 13

The Russian economy will not withstand the cessation of the war and will sink into a crisis.

The Russian economy will not withstand the cessation of the war and will sink into a crisis. As Welt writes, the Russian economy has proven that it can perform better than expected despite economic sanctions, but its current growth stems from the military industry. Economists predict Russia w...

Ukraine is working on the possibility of weapons exportation.

Ukraine is working on the possibility of weapons exportation. Ukraine has created a working group that will deal with the development of a mechanism for exporting military equipment from domestic factories. Technological Forces of Ukraine, a MilTech association,...

Ukraine is increasing its national debt, but its value has decreased by 10.3% since the beginning of the year.

Ukraine is increasing its national debt, but its value has decreased by 10.3% since the beginning of the year. As of June 30, the state and state-guaranteed debt of Ukraine amounted to ₴6.16T ($152.2B), including external debt – ₴4.45T ($109.9B), internal debt – ₴1.71T ($42.2B), the Ministry of Finance s...

Ukrainian companies, with sufficient investment, can produce 90% of the building materials that will be needed for reconstructing Ukraine.

Ukrainian companies, with sufficient investment, can produce 90% of the building materials that will be needed for reconstructing Ukraine. According to the KSE, Ukrainian manufacturers can potentially produce 90% of the building materials needed to rebuild the country. About $65B will be needed for these building materials. Currently, th...

During the war, foreigners have opened more than 3,000 companies in Ukraine.

During the war, foreigners have opened more than 3,000 companies in Ukraine. Since the beginning of the full-scale war, foreigners from 101 countries have opened 3,075 companies in Ukraine. Most often, citizens of Turkey opened businesses in Ukraine – 396 companies or 12.9% of...

The grain corridor’s operation has allowed Ukraine to start a new grain export season with an increase of 59%.

The grain corridor’s operation has allowed Ukraine to start a new grain export season with an increase of 59%. Since July 2024, when the new marketing season began, Ukraine exported 4.96 million tons of grain, which is 58.9% more than in the same period last year (3.12 million tons). This includes 1.26 million...

Unemployment is increasing in Ukraine, and job seeker activity remains consistently low.

Unemployment is increasing in Ukraine, and job seeker activity remains consistently low. The number of new vacancies in the employment market during July practically did not change and remained at about 90% of the average level in 2021, according to data from the Center for Economic Strat...

Monday, August 12

The prolonged invasion has started to significantly impact the Russian economy negatively.

The prolonged invasion has started to significantly impact the Russian economy negatively. According to Bloomberg, Russia’s overheated economy may begin to cool, based on Russian government statistics. While Russia’s GDP jumped more than 4% year-on-year in the second quarter, gr...

Ukraine needs to reduce the size of its shadow economy to continue receiving help from Western partners.

Ukraine needs to reduce the size of its shadow economy to continue receiving help from Western partners. As FT writes, Ukrainian authorities are trying to improve the country’s financial condition by implementing several scenarios simultaneously, which can be called a mixture of debt restructuring,...

Ukrainian small and medium-sized businesses will receive €7B in international aid.

Ukrainian small and medium-sized businesses will receive €7B in international aid. Last week, the first meeting of the Small and Medium Business (SME) Sustainability Alliance, created in June during URC-2024 with the participation of Ukraine, 12 other countries and 17 development in...

Ukraine increased its turnover by $9B.

Ukraine increased its turnover by $9B. Ukraine’s seven-month turnover amounted to $61.7B (+$9B). Imports to Ukraine increased to $39.1B (+$5.9B for July). Exports from Ukraine are up to $22.6B (+$3.1B). The countries with the most im...

Entrepreneurs note a satisfactory business climate only in the west of Ukraine.

Entrepreneurs note a satisfactory business climate only in the west of Ukraine. Business conditions in other regions of Ukraine are assessed by companies as difficult, and only in the Western region do most entrepreneurs consider them satisfactory, according to a survey by the Eu...

Friday, August 9

The National Bank predicts a slowdown in inflation next year.

The National Bank predicts a slowdown in inflation next year. The NBU will allow exchange rate fluctuations that will make it possible to maintain control over inflation expectations and achieve the 5% inflation target, said National Bank Chairman Andriy Pyshnyi...

Because of sanctions, Russia and China are returning to barter exchange of goods for the first time in 30 years.

Because of sanctions, Russia and China are returning to barter exchange of goods for the first time in 30 years. Russia and China are discussing barter trade agreements that will help bypass the US-controlled SWIFT international banking system and limit currency risks; the first such transaction could take place...

What is happening in the Ukrainian office real estate market in the third year of the war?

What is happening in the Ukrainian office real estate market in the third year of the war? The market for office space continues to decline, continuing the trend that began after the beginning of the pandemic in 2020. The supply of new locations in the market is growing, and demand is decre...

Astrobuild will manage two industrial parks in the Kyiv region with a total investment in the hundreds of millions of dollars.

Astrobuild will manage two industrial parks in the Kyiv region with a total investment in the hundreds of millions of dollars. The Astrobuild managing company consolidated the management of industrial assets in two industrial parks – Bila Tserkva and Bila Tserkva 2 – projects of the UFuture holding company. The consolidation ...

Thursday, August 8

The Russian Academy of Sciences predicts the collapse of the aggressor state’s oil and gas economy.

The Russian Academy of Sciences predicts the collapse of the aggressor state’s oil and gas economy. Russia will have to bid goodbye to its “energy superpower” status. Having lost access to Western technologies and key markets for the sale of raw materials, Russia will not be able to retu...

Ukraine increased its cement production by 25% against the background of its looming reconstruction needs.

Ukraine increased its cement production by 25% against the background of its looming reconstruction needs. According to the results from January-June, enterprises of the Ukrcement association increased their cement production by 24.4% compared to the same period in 2023 – up to 3.799 million tons, the asso...

Rental activity in the warehouse market increased by 13%.

Rental activity in the warehouse market increased by 13%. Rental activity in Ukraine’s warehouse real estate market in January-June increased by 13% compared to the same period last year and amounted to about 70,000 square meters, according to CBRE. De...

The EU increased its imports of liquefied gas from the Russian Federation by 7%.

The EU increased its imports of liquefied gas from the Russian Federation by 7%. Supplies of Russian liquefied natural gas to Europe in the first half of the year increased by 7% compared to last year, with France increasing its imports the most. French companies imported almost 4...

Ukraine can replace Russia in many European market segments, particularly in pharmaceutical exports.

Ukraine can replace Russia in many European market segments, particularly in pharmaceutical exports. According to NBU analysts, Ukrainian producers can replace the supply of goods and services from Russia and fill the EU market with the necessary finished products or raw materials. Prospective ways o...

What goods dominated Ukraine’s exports at the beginning of the year?

What goods dominated Ukraine’s exports at the beginning of the year? During the first five months of the year, the main volume of commodity exports was occupied by products of plant origin – 34.5%. Inexpensive metals (ferrous and non-ferrous) lost significant volume du...

Wednesday, August 7

An estimated $26T in mineral deposits are located in Ukraine; Russia has already captured deposits worth $12T.

An estimated $26T in mineral deposits are located in Ukraine; Russia has already captured deposits worth $12T. The National Review draws attention to another consequence of the Russian war against Ukraine – its control over a portion of Ukrainian natural resources. Considerable mineral resources are concentrat...

The ratio of mortgage loans to GDP in Ukraine is at most 1%: What is happening in this market?

The ratio of mortgage loans to GDP in Ukraine is at most 1%: What is happening in this market? The National Bank reported that the ratio of mortgage loans to GDP in Ukraine is 1%, the lowest indicator in Europe. Obstacles to mortgage growth are the uncertain prospects in the real estate market ...

The Zaporizhzhia Aluminum Plant will be re-auctioned with a 50% discount.

The Zaporizhzhia Aluminum Plant will be re-auctioned with a 50% discount. The privatization auction for the Zaporizhzhia Industrial Aluminum Plant on August 6 did not take place because there were no parties interested in participating in it, according to the Prozorro.Sales...

Ukraine is increasing its export of value-added products more than the supply of raw materials abroad.

Ukraine is increasing its export of value-added products more than the supply of raw materials abroad. According to Deputy Minister of Economy Taras Kachka, a certain shift in emphasis occurred even before the war. After the invasion by the Russian Federation, many businesses completely updated their a...

Ukraine will now allow foreign companies to build large facilities in Ukraine without additional licenses.

Ukraine will now allow foreign companies to build large facilities in Ukraine without additional licenses. The Cabinet of Ministers amended a resolution, opening the possibility for representative offices of foreign companies and organizations in Ukraine to engage in the construction of large facilities. T...

Experts have analyzed the dynamics of Ukraine’s credit rating over 20 years.

Experts have analyzed the dynamics of Ukraine’s credit rating over 20 years. In August, S&P downgraded Ukraine’s long-term and short-term foreign currency credit ratings from CC/C to SD/SD, which indicates selective default. The rating will be upgraded after the debt...

The Vinnytsia region will build a new $15M dry port to facilitate logistics with Odesa ports and EU countries.

The Vinnytsia region will build a new $15M dry port to facilitate logistics with Odesa ports and EU countries. A dry port in the Vinnytsia region will help connect the central regions of the country with the ports of Odesa and, through the Mostyska container terminal, with EU countries. It will be a railway te...

Businesses account for 80% Ukrainian electricity imports.

Businesses account for 80% Ukrainian electricity imports. Ukrenergo notes that a significant electricity deficit is present for most hours of the day, and the import crossing is almost fully loaded with 1650-1700 MW out of the 1700 MW allowed. 80% of this ca...

Tuesday, August 6

The parliament proposes a solution for NPLs: creating a “bad assets bank” using a nationalized state bank.

The parliament proposes a solution for NPLs: creating a “bad assets bank” using a nationalized state bank. The creation of a bad asset bank will allow the settlement of current and future problem debts accumulated during the full-scale war, said the head of the Parliamentary Committee on Finances, Danylo H...

Ukraine may not be able to find an additional ₴500B for defense needs.

Ukraine may not be able to find an additional ₴500B for defense needs. Even with a proposed radical tax increase, Ukraine may not fully overcome the fiscal gap that must be closed for effective and timely financing of its military needs. Analysts from RRR4U think tanks h...

How will the collapse of European, Asian, and US stock markets affect Ukraine?

How will the collapse of European, Asian, and US stock markets affect Ukraine? The value of shares in leading US and European companies and businesses is rapidly decreasing. First, the reduction concerns assets with a high level of risk. For Ukraine, these events in the financia...

In the seven full months of this year, cargo transshipment in Ukrainian ports almost reached 2023’s total amount.

In the seven full months of this year, cargo transshipment in Ukrainian ports almost reached 2023’s total amount. Ukrainian seaports processed 59.9 million tons of cargo in January-July, almost equaling the total figure for last year (approximately 62 million tons). During this time, the ports increased cargo tur...

What prevents foreign companies from investing in Ukrainian industrial parks?

What prevents foreign companies from investing in Ukrainian industrial parks? Almost all investors interested in locating production facilities in industrial parks are Ukrainian companies. The share of Ukrainian investors in the total industrial park investment structure is alm...

In July, Ukraine exported products worth almost $3B; the largest amount was shipped to the EU.

In July, Ukraine exported products worth almost $3B; the largest amount was shipped to the EU. In July, Ukraine sold $2.97B worth of products abroad, 9% more than in June. In metallurgy, records were set in the form of 219,000 tons of semi-finished iron products, which is 83% more than in June ...

The land market has become more active in Ukraine; how have prices for agricultural land changed?

The land market has become more active in Ukraine; how have prices for agricultural land changed? There were 27,300 purchase agreements for Ukrainian agricultural land in the second quarter of the year, with a total area of 60,800 hectares (+6.3% and +3.3%, respectively, compared to the first qu...

Ukraine’s labor market is stagnating, forcing companies in several sectors to plan layoffs.

Ukraine’s labor market is stagnating, forcing companies in several sectors to plan layoffs. Most employers in the main economic sectors do not plan to increase vacancies dramatically and lay off workers. However, some companies are going to adjust their personnel. They plan to fire employees...

The capital of Transcarpathia has become the housing construction leader among Ukrainian cities.

The capital of Transcarpathia has become the housing construction leader among Ukrainian cities. Uzhhorod is currently the leader among Ukrainian cities in housing construction, followed by Ivano-Frankivsk and Lviv. Bucha and Irpin in the Kyiv region round out the top five cities, said the Presid...

Monday, August 5

S&P downgrades Ukraine’s credit rating to “selective default” in response to the Eurobond restructuring.

S&P downgrades Ukraine’s credit rating to “selective default” in response to the Eurobond restructuring. The international rating agency S&P Global lowered Ukraine’s long-term and short-term credit ratings in foreign currency to the level of selective default – from CC/C to SD/SD – due to the m...

The S&P assesses the duration and consequences of the war for Ukraine’s economy.

The S&P assesses the duration and consequences of the war for Ukraine’s economy. The international rating agency S&P Global Ratings notes high uncertainty regarding the scope, results, and consequences of the Russian war in Ukraine. “If the economy begins to recover, giv...

Economic recovery: Ukraine will receive a €200M grant from France and €50M from the EU to develop port infrastructure.

Economic recovery: Ukraine will receive a €200M grant from France and €50M from the EU to develop port infrastructure. The Cabinet of Ministers has submitted to the Ukrainian Parliament an agreement between Ukraine and France that will provide €200M in grant funds for the restoration of Ukraine’s infrastructure ...

China plans to increase imports of Ukrainian agricultural products; Bosnia and Herzegovina will buy Ukrainian poultry.

China plans to increase imports of Ukrainian agricultural products; Bosnia and Herzegovina will buy Ukrainian poultry. Soon, Kyiv and Beijing may agree to increase the volume of Ukrainian agricultural product imports to China, according to Zhenmin Wang Yiwei, a professor of international relations at the Peking People...

Friday, August 2

Despite declines in attendance and the electricity shortage, restaurant industry revenue increases by 16%.

Despite declines in attendance and the electricity shortage, restaurant industry revenue increases by 16%. According to the Poster POS company, restaurant turnover in January-June compared to the corresponding period in 2023 increased by 16%, and the average check, due to price increases, increased by 13% ...

Land auction participants have earned more than ₴1B.

Land auction participants have earned more than ₴1B. The price of land increased by more than 50% in 2024 in land auctions conducted using the state’s electronic trading system, Prozorro. Gross sales from these auctions total more than ₴1B since the beg...

The business community has softened its negative expectations; the construction sector feels the most confident.

The business community has softened its negative expectations; the construction sector feels the most confident. The Business Activity Expectation Index (BAEI) increased to 44.4 in July from 43.6 in June but is still below this year’s high of 52.3, recorded in April. Adaptability to energy supply problems,...

Ukraine’s largest producer of pet food wants to attract €40M from the EBRD to build a second plant in Lithuania.

Ukraine’s largest producer of pet food wants to attract €40M from the EBRD to build a second plant in Lithuania. On September 11, the EBRD will consider the possibility of granting a €40M loan to the Ukrainian Kormotech Group for the construction of a second plant to produce pet food in Lithuania. The group̵...

Ministry of Economy: The average salary in Ukraine has increased to ₴19,553.

Ministry of Economy: The average salary in Ukraine has increased to ₴19,553. Employers in Ukraine are raising wages for employees to retain and attract new highly qualified personnel amidst a shortage of labor resources, the Ministry of Economy reports. According to a state an...

Thursday, August 1

Ukraine can produce three million UAVs per year, and Brave1 will focus on supporting the missile program.

Ukraine can produce three million UAVs per year, and Brave1 will focus on supporting the missile program. Ukraine has sufficient production capacity to make more than three million drones every year if sufficient funding is in place, Deputy Minister of Industry Anna Gvozdyar said at the Precision Brave1 h...

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