Kyivstar, Ukraine’s largest

Kyivstar, Ukraine’s largest mobile operator, reports the most popular messenger services for its 25.9 million users are: Viber– 12 million; Facebook messenger – 11 million; Telegram – 6 million; and WhatsApp –  5 million. For social platforms, the ranking is: Facebook and YouTube – 13 million; Instagram – 10 million; Twitter – 7 million; and TikTok – 5.5 million. Average daily use is: TikTok – 88 minutes; YouTube – 54 minutes; Facebook – 44 minutes. Prime usage time is during

Kyivstar reports

Kyivstar reports a 30% yoy increase in subscribers using 4G Internet last year. At the end of the year, average consumption of data traffic per subscriber was 6.1 GB in the fourth quarter — 43% higher than one year earlier.

Declaring war on paper documents, the Cabinet of Ministers has approved

Declaring war on paper documents, the Cabinet of Ministers has approved 94 digital transformation projects to be added to the Diya app over the next three years. A sampling are: E-notary, E-property, E-urban planning, E-school, E-social protection, E-migration, E-hospital, E-permission and E-access. The programs will largely allow digital payment of fees and the transfer of digital files.

The EU is providing Ukraine with €20 million to help digital development

The EU is providing Ukraine with €20 million to help digital development, Minister Fedorov writes on Telegram. To be implemented with the help of Estonia’s e-Governance Academy and FIIAPP, Spain’s public administration aid agency, the project will focus on developing infrastructure for electronic government; modernization of public e-services and development of services on the Diya portal and in the Diya app.

Bucking the world recession, Ukraine’s IT exports increased by 20% yoy, to $5 billion

Bucking the world recession, Ukraine’s IT exports increased by 20% yoy, to $5 billion, according to new figures from the National Bank of Ukraine. IT now accounts for 8.3% of total exports, putting it in fourth place after food, metals, and migrant labor. In 2013, IT accounted for 1.3% of Ukraine’s exports. “Ukraine has earned a reputation in recent years as one of the world’s leading IT outsourcing destinations, but many feel it is time for the country to move

Of the 100 best IT outsourcing firms in the world, 11 are based in Ukraine

Of the 100 best IT outsourcing firms in the world, 11 are based in Ukraine, according to the 2021 Global Outsourcing 100 list, a ranking compiled annually by the International Association of Outsourcing Professionals. Designed to help companies find the right IT help, the list includes from Ukraine, in alphabetical order: Ciklum, Eleks, Infopulse, Innovecs, Intellias, Miratech, Nix, N-iX, Program-Ace and Sigma Software.

The share of women in Ukraine’s IT workforce has tripled over the last decade, hitting 22% today

The share of women in Ukraine’s IT workforce has tripled over the last decade, hitting 22% today, according to a study by GlobalLogic. Women now account for one third of all testers in Ukraine and 8% of developers, according to ITC.UA’s report on the study. Overall, employment in IT is growing by 15% a year.

Almost 40 Belarusian IT companies with a total of 2,000 employees have moved to Ukraine in the last six months

Almost 40 Belarusian IT companies with a total of 2,000 employees have moved to Ukraine in the last six months, Mykhailo Fedorov, minister for Digital Transformation, tells Interfax-Ukraine. The emigration south has been prompted by police violence following Alexander Lukashenko’s assumption of presidential powers after the presidential election of last August and by a nearly 50% hike in IT income taxes, to 13%, effective Jan. 1.

Ukraine is following the example of Dubai, Silicon Valley and Belarus of a decade ago by creating a low tax, low bureaucracy regime for IT companies

Ukraine is following the example of Dubai, Silicon Valley and Belarus of a decade ago by creating a low tax, low bureaucracy regime for IT companies, Fedorov told Interfax last week. In coming days, the Rada is to vote on “Diya City” an special regime for IT companies that will feature 5% income taxes and a modern labor code. “Action City is essentially a virtual zone, a kind of register,” Fedorov said. By legalizing operations, he said “companies can go

About 10% of Ukraine’s population are now using ‘Diya 2.0,’ the updated version of the mobile digitized documents app that was launched only one year ago

About 10% of Ukraine’s population are now using ‘Diya 2.0,’ the updated version of the mobile digitized documents app that was launched only one year ago, Fedorov reports on his Telegram channel. With 220,000 users sharing digitized documents every day, the top three uses are: banking — Nova Pay, Monobank, and A-Bank; delivery services — Nova Poshta , Ukrposhta, and SAT; and money transfer — Miloan, Tengo, and MoneyVeo. The user breakdown is: Android — 66%; IOS – 31%; and

For the first time, Internet tops TV as the primary news sources for Ukrainians

For the first time, Internet tops TV as the primary news sources for Ukrainians, according to a new survey by Research & Branding Group. For news, the preferences are: Internet – 51%; TV – 44%; radio and print — 2%. For social media use, the rankings are: Facebook – 59%; YouTube – 43%; Instagram – 30%; Telegram – 17%; Twitter—6%; Odnoklassniki – 5%; and Vkontakte – 3%. Top messenger services are: Viber — 57%; Facebook Messenger — 37%; Telegram —

Online advertising grew by 7% last year, countering the overall stagnation of Ukraine’s advertising market

Online advertising grew by 7% last year, countering the overall stagnation of Ukraine’s advertising market, reports the Ukrainian Internet Association.  With millions of Ukrainians housebound and turning to e-commerce, online advertising grew to $490 million last year. Nearly half of the ad spending for social media and messenger platforms. The most dynamic segment was online ‘media advertising’ which grew by 41% yoy, to $240 million. The full report can be found here. Ukraine’s overall advertising market shrank by 1% last

“Our goal is for Ukraine to enter the top 20 digital countries of the world,” President Zelenskiy said

“Our goal is for Ukraine to enter the top 20 digital countries of the world,” President Zelenskiy said on presentation of the program. “To do this, we must provide every Ukrainian with high-speed Internet anywhere in our country.” Praising the first year of the Diya app, he said: “We are the first country in the world with digital passports and the fourth in Europe with a digital driver’s license. Digitization is the direct and best fight against corruption.”

Ukraine also gets about one third of its diesel and gasoline from Belarus

Ukraine also gets about one third of its diesel and gasoline from Belarus. But the strikes and slowdowns will only result in a ‘hiccup’ for Ukrainian prices, Kuyun predicts. “First, we have been living with a huge surplus of diesel fuel and gasoline for half a year. Traders sell it to zero at best, the market is so overwhelmed. Second, the Ukrainian market is open for supplies from all sides.”

Belarus Eurobonds handed investors a loss of 5.1% this month, the worst performance in emerging markets,

Belarus Eurobonds handed investors a loss of 5.1% this month, the worst performance in emerging markets, according to a Bloomberg Barclays index. Since the 2031 bonds were issued on June 25, the yield is up by one percentage point.

Concorde Capital’s Alexander Paraschiy

Concorde Capital’s Alexander Paraschiy calculates that the purchase was at 90% of par and writes: “This is also a good signal for the holders of GDP warrants, as it indicates MinFin is anticipating large payments under the warrants in the mid-term.”

Timothy Ash writes:

Timothy Ash writes: “Now most official forecasts have a 4% plus growth for 2021.With the changes at the [central bank], the Zelenskiy administration is going for a pro-growth agenda, which might mean lower rates, cheaper currency, perhaps looser fiscal – note minimum wage hikes.

Reminder: UIA is offering two direct Kyiv-New York-Kyiv flights

Reminder: UIA is offering two direct Kyiv-New York-Kyiv flights – next Monday Aug. 24, and the following Monday, Aug. 31. No additional New York flights are scheduled. Tickets only are available through the UIA site:  https://www.flyuia.com/ua/en/home.

For Ukraine, the biggest impact of strikes spreading across Belarus may be a shortage of asphalt for President Zelenskiy’s $3 billion drive to pave 4,000 km of highways this year.

For Ukraine, the biggest impact of strikes spreading across Belarus may be a shortage of asphalt for President Zelenskiy’s $3 billion drive to pave 4,000 km of highways this year. Ukraine imports half of its asphalt in heated, liquid form from Belarus. “Objectively, there is nothing to replace Belarusian volumes — and this is half of the market,” Serhiy Kuyun, director of the A-95 Consulting Group, writes on his Facebook page. “Russian supplies are closed, and Ukrainian traders are just mastering

Most of Ukraine’s imports of Belarus petroleum products come from the Belarus’ largest refinery, in Mazyr

Most of Ukraine’s imports of Belarus petroleum products come from the Belarus’ largest refinery, in Mazyr, on the Pripyat River, 250 km north of Kyiv. According to Argus Media, it appears that Mazyr workers will be on a 3-hour lunchtime strike this week. At Naftan refinery, near Belarus’ northern border with Lithuania, workers are on strike. The refinery which is owned by Belneftekhim, was already shut down for scheduled maintenance.

On the IT front, Ukrainian IT companies are “already accepting individual divisions of IT companies in Belarus as guests,”

On the IT front, Ukrainian IT companies are “already accepting individual divisions of IT companies in Belarus as guests,” Olha Kunichak, manager of the European Business Association’s IT Committee tells Interfax-Ukraine. “Ukrainian IT companies are ready to cooperate and help our northern neighbors.” To restrict protesters, the Belarus government has been shutting off the Internet. Ukraine started this summer a fast track program to grant work permits to foreign IT specialists. According to Ukraine’s Ministry of Digital Transformation, Ukrainian universities only

Ukraine is recalling its ambassador from Belarus to protest Lukashenko’s “repeated and groundless” statements against Ukraine

Ukraine is recalling its ambassador from Belarus to protest Lukashenko’s “repeated and groundless” statements against Ukraine, Ukraine Foreign Minister Dmytro Kuleba said yesterday. President Lukashenko’s return to of Russia mercenaries who had fought on the separatist side in the Donbas war, “derailed the trust between our nations and inflicted a heavy blow upon our bilateral relations,” Kuleba said.

Leases for 4,262 empty buildings totaling 2.5 million square meters – or 10 times New York’s Empire State Building – will go up for electronic auction this fall

Leases for 4,262 empty buildings totaling 2.5 million square meters – or 10 times New York’s Empire State Building – will go up for electronic auction this fall under streamlined rules approved last week by the Cabinet of Ministers, announces Leonid Antonenko of the privatization department of the State Property Fund. The full of list of leases to auctioned by ProZorro.Sales includes: 1,070 offices, 837 warehouses, 566 factories, 61 spaces at airports, and six sites for renewable energy plants at

Ukraine ranks first in a ranking of 39 Eastern European and developing countries for public procurement transparency.

Ukraine ranks first in a ranking of 39 Eastern European and developing countries for public procurement transparency. Following 64 indicators for the Transparency Rating, the authors placed Ukraine at the top with a score of 97% and Tajikistan at the bottom with a score of 38%. Poland got  74%, Hungary 67% and the Czech Republic 65%. Russia and Belarus were not studied by the group, the Soros-funded Institute for the Development of Freedom of Information. For the last four years,

Ukraine’s Finance Ministry has repurchased about 10% of outstanding GDP-linked securities

Ukraine’s Finance Ministry has repurchased about 10% of outstanding GDP-linked securities, the Finance Ministry announced Friday on the Irish Stock Exchange. Known as GDP warrants, the securities have payouts triggered by two consecutive years of GDP growth. By spending up to $300 million to quietly buy back these securities, the government may be expecting a post-Coronavirus growth bounce next year. After Ukraine’s economy GDP fell 11.4% in Q2, the central bank predicts that economy will shrink by 6% this year,

In a sign the Corona-recession has eased, Ukraine’s electricity consumption in July was only 0.7% below last year’s level

In a sign the Corona-recession has eased, Ukraine’s electricity consumption in July was only 0.7% below last year’s level, according to Ukrenergo, the nation’s state power transmission company.  Industrial consumption was down 3.2% yoy, but household consumption was up 4.7% and consumption by chemical industries was up 15%.

The central bank expects to receive the second tranche from the IMF by the end of this year,

The central bank expects to receive the second tranche from the IMF by the end of this year, Kyrylo Shevchenko, the new governor of the National Bank of Ukraine, says in an interview with RBK-Ukraina. The IMF approved the 18-month, $5 billion program on June 9, and the first tranche — $2.1 billion — was disbursed three days later. Release of the remaining $2.9 billion depends on four reviews. However, Shevchenko’s predecessor, Yakiv Smoliy quit on July 1, citing pressure

Last week, the central bank bought $223 million, strengthening the hryvnia mildly to UAH 27.3/$1.

Last week, the central bank bought $223 million, strengthening the hryvnia mildly to UAH 27.3/$1. So far this year, the National Bank of Ukraine has bought $1 billion more than it sold, latest data show. Demand for dollars this summer has been weak as vacationers are largely bottled up inside the country, unable to take advantage of visa-free access to the EU.

Last year, Ukrainians made 26 million trips out of the country, while foreigners made 15 million trips here

Last year, Ukrainians made 26 million trips out of the country, while foreigners made 15 million trips here, according to the State Statistics Service. Tourism accounts for only 1.5% of Ukraine’s GDP, well below Belarus – 6.4% — and Georgia – 26.3%. To generate more inbound tourism, Ukraine has dropped visa requirements for Chinese tourists and allowed Indians, South Africans and Filipinos to apply for visas on line. “Simple arithmetic shows the advantages of visa liberalization: the average check of

“This will be the beginning of your end, you will go down on your knees like in Ukraine,”

“This will be the beginning of your end, you will go down on your knees like in Ukraine,” Belarus President Aleksandr Lukashenko warned 40,000 supporters in Minsk Sunday, rebutting calls for his resignation. A few hours later, participants at mass opposition rally of 220,000 chanted for Lukashenko to go. After a week of violent police attacks on protesters, policing was light. Workers at key state factories walked out on Friday. Today, state television workers threaten to strike, demanding an end

On Saturday, Lukashenko asked President Putin for Russia to intervene militarily

On Saturday, Lukashenko asked President Putin for Russia to intervene militarily. But, according to the Kremlin readout of the call, Putin only promised to keep talking to the besieged 65-year-old leader. In Belarus, protesters do not call for withdrawal from two Moscow-led organizations – the Eurasian Economic Union and the Collective Security Treaty Organization. Without an anti-Moscow slant to the Belarus protest, some analysts drew parallels last night to the 2018 revolution in Armenia. They predict the Kremlin will work

Belarus is Ukraine’s fourth largest trading partner, largely a transit country for goods restricted by the Russia-Ukraine trade war.

Belarus is Ukraine’s fourth largest trading partner, largely a transit country for goods restricted by the Russia-Ukraine trade war. Despite this close economic relationship, President Zelenskiy probably will not travel to Grodno, Belarus on Oct. 8-9, for an annual bilateral trade and investment conference. Ukraine’s Foreign Minister Dmytro Kuleba told UA: Ukrainian Radio on Friday: “Until the situation in Belarus stabilizes, it would be reckless to announce any visit or initiative.”

Eying Belarus’ dynamic IT industry, Ukraine’s Digital Transformation Minister posted an appeal to Belarus IT companies and specialists to relocate south of the border — to Ukraine.

Eying Belarus’ dynamic IT industry, Ukraine’s Digital Transformation Minister posted an appeal to Belarus IT companies and specialists to relocate south of the border — to Ukraine. “Belarus has been going through one of the deepest political crises in its history,” Mikhalo Fedorov posts on his Facebook page. He says that, under a new recruitment program, foreign IT specialists can get their Ukraine work permits in 5-7 days – “that’s all.” Noting that this year’s quota is 5,000 “highly qualified

A near doubling of exports to China reduced Ukraine’s trade deficit to $1.3 billion for the first half of this year,

A near doubling of exports to China reduced Ukraine’s trade deficit to $1.3 billion for the first half of this year, the lowest level in recent years. The State Statistics Service reports exports to China rose 93%yoy to $3 billion, to Poland dropped 14%, to $1.5 billion; and to Russia dropped 17%, to $1.3 billion. Overall, Ukraine exported $22.9 billion worth of goods and imported $24.2 billion. For imports, Ukraine’s imports from China dropped 7%, to $3.6 billion; from Germany

Today, flights resume between Kyiv and Yerevan, Armenia and between Kyiv and Almaty, Kazakhstan.

Today, flights resume between Kyiv and Yerevan, Armenia and between Kyiv and Almaty, Kazakhstan. Air service to the two countries was suspended five months ago as part of the coronavirus travel restrictions.

Do the math

Do the math: Ihor Kolomoisky’s Windrose airline is receiving its 14th aircraft, a leased ATR-72-600. Within a year, Windrose is to receive another five of these regional turboprops, bringing its fleet to 19. At the same time, Kolomoisky’s UIA is cancelling leases and cancelling orders. Currently. UIA’s fleet is down 33, with 14 in storage. In 2013, Kolomoisky’s airline Aerosvit filed for bankruptcy and several jets were transferred to UIA.

China’s purchase of ship parts and R&D services for aircraft engines made it the largest buyer of military equipment from UkrOboronProm during the first half of this year.

China’s purchase of ship parts and R&D services for aircraft engines made it the largest buyer of military equipment from UkrOboronProm during the first half of this year. Of $145 million in sales, the biggest buyers from the state defense conglomerate were: China, Turkey, Pakistan, India, Jordan, Vietnam, Azerbaijan, Algeria, Morocco, and Ethiopia. Of all deliveries, 56% went to Asia-Pacific.

China Railway Construction Corporation is talking with

China Railway Construction Corporation is talking with Vadym Novinsky’s Smart Holding about building a deep water port at Ochakiv, a Black Sea port 60 km south of Mykolaiv city. A strategic chokepoint controlled by at least 10 different peoples over the last 2,500 years, Ochakiv is 3.6 km across from the Kinburn Spit, a position that controls shipping to the mouth of the Dnipro. Smart Holding reports the Chinese are discussing doubling the depth of the harbor, to 15-18 meters,

Given Ochakiv’s strategic location, facing Crimea 100 km to the south, US Navy Seabees built last year a $700,000 operations center at Ochakiv for Ukrainian Navy.

Given Ochakiv’s strategic location, facing Crimea 100 km to the south, US Navy Seabees built last year a $700,000 operations center at Ochakiv for Ukrainian Navy. When construction was announced, Vladimir Zhirinovsky, the Russian nationalist politician, announced: “This is Russian land – Ochakiv.” Next year, several US-supplied Mark VI fast patrol boats are to be based at Ochakiv.

Last month, CRCC, China’s second largest state-owned construction company,

Last month, CRCC, China’s second largest state-owned construction company, signed a memorandum of understanding with Ukraine’s Infrastucture Ministry about modernizing Ukraine’s inland waterways. These are the Dnipro, which flows through Kherson, and the Southern Bug, Ukraine’s second longest navigable river, which passes through Mykolaiv. For both projects, the Chinese team was led by Li Junqiang, executive director of CRCC’s subsidiary CRCC14 Overseas Construction and Development Co Ltd., and Wang Chuang, deputy general director of CRCC’s 14th Bureau Group.

Nibulon, the largest shipper on the Dnipro, is building a Black Sea port complex in Ochakiv and restoring the fish canning factory

Nibulon, the largest shipper on the Dnipro, is building a Black Sea port complex in Ochakiv and restoring the fish canning factory. To supply the cannery with fish, crustaceans and mollusks from the Dnipro-Buzky estuary, Nibulon’s CEO Oleksiy Vadatursky writes on his Facebook page that he is considering building shallow water fishing vessels at Nibulon’s shipyard in Mykolaiv.

Fresh from announcing a deal with Chinese investors to take over Motor Sich, Ukraine’s jet engine factory, Alekander Yaroslavsky offers to raise $1 billion to revive the aviation plant in his home city of Kharkiv

Fresh from announcing a deal with Chinese investors to take over Motor Sich, Ukraine’s jet engine factory, Alekander Yaroslavsky offers to raise $1 billion to revive the aviation plant in his home city of Kharkiv. Earlier, Yaroslavsky’s DCH group rebuilt the terminal of Kharkiv airport and revived production at the Kharkiv Tractor Plant. Kharkiv Aircraft Plant has not made a plane since 2014. It largely survives by making spare parts and performing maintenance. It owes $8 million in back salaries.