newsintheukrain

Thursday, July 23

Ukraine’s industrial production dropped by 8.3% in the first half of this year Ukraine’s industrial production dropped by 8.3% in the first half of this year, compared to January-June 2019. The State Statistics Service reports that the biggest drops were: coal – 23%; ceramic bri...

Indicating that Ukraine is emerging from a horseshoe-shaped recession Indicating that Ukraine is emerging from a horseshoe-shaped recession, June industrial production was 4.1% higher than in May, reports the Statistics Service. In year-over-year terms, the monthly decl...

Retail sales are up 3% yoy in real terms for the first half of this year, reports the State Statistics Service Retail sales are up 3% yoy in real terms for the first half of this year, reports the State Statistics Service. In June, sales were up 8.8% in real terms over May. For the first half of this year, the...

Concorde Capital’s Evgeniya Akhtyrko writes: Concorde Capital’s Evgeniya Akhtyrko writes: “It was encouraging to see that retail recovered right after the restriction on retail trade was removed. The positive trends in trade might serve as the s...

COVID-19 quarantine restrictions are extended until the end of August, the Cabinet of Ministers decided yesterday. COVID-19 quarantine restrictions are extended until the end of August, the Cabinet of Ministers decided yesterday. Despite four months of restrictions of varying intensity, the number of newly identif...

With a new central bank governor in place, Ukraine returns today to the Eurobond market. With a new central bank governor in place, Ukraine returns today to the Eurobond market. Goldman Sachs International and J.P. Morgan led a global investment call yesterday for a 12-year bond. Three we...

Starting Aug. 1, Ukraine will be divided according to corona infection rates into four zones: green, yellow, orange and red. Starting Aug. 1, Ukraine will be divided according to corona infection rates into four zones: green, yellow, orange and red. In the coveted green zone, people will be able to: go to cinemas or theater...

Today, the two banks will help Ukraine launch an accelerated switch tender offer on Ukraine’s 2021 and 2022 notes for up to US$750 million. Today, the two banks will help Ukraine launch an accelerated switch tender offer on Ukraine’s 2021 and 2022 notes for up to US$750 million. In this offer, Goldman and J.P. Morgan act as Dealer Manager...

Bulgaria’s low cost carrier Voyage Air is starting flights between Ukraine and Varna, Bulgaria’s Black Sea resort Bulgaria’s low cost carrier Voyage Air is starting flights between Ukraine and Varna, Bulgaria’s Black Sea resort. On Friday, flights start from Kyiv Boryspil and on Monday from Lviv. SkyUp is droppin...

This morning, Ukraine’s central bank is expected to cut its key interest rate from 6%, according to a Reuters poll of 17 Ukrainian analysts. This morning, Ukraine’s central bank is expected to cut its key interest rate from 6%, according to a Reuters poll of 17 Ukrainian analysts. Of the analysts, seven expect a rate cut to 5.5%; four see ...

By this weekend, Ukrainians can fly domestically from Kyiv Boryspil, Kherson, Lviv and Odesa by showing their digital passports in their Diya app. By this weekend, Ukrainians can fly domestically from Kyiv Boryspil, Kherson, Lviv and Odesa by showing their digital passports in their Diya app. “Show the smartphone screen at the air security contr...

In the last 48 hours, Shevchenko has held a marathon of meetings in Kyiv — with the national press, foreign investors, G7 ambassadors In the last 48 hours, Shevchenko has held a marathon of meetings in Kyiv — with the national press, foreign investors, G7 ambassadors, the EBRD, the World Bank and the IMF. In each meeting, Shev...

Starting Aug. 1, citizens of Australia, New Zealand, Saudi Arabia, Bahrain, Kuwait and Oman can enter Ukraine without visas and stay for 90 days Starting Aug. 1, citizens of Australia, New Zealand, Saudi Arabia, Bahrain, Kuwait and Oman can enter Ukraine without visas and stay for 90 days. Australia and Saudi Arabia have embassies in Kyiv.

Wednesday, July 22

The Finance Ministry sold $422 million worth of bonds at auction yesterday. The Finance Ministry sold $422 million worth of bonds at auction yesterday. Yields were little changed. Six-month dollar bonds accounted for 40% of the total. The average yield was 3.39%, unchanged si...

Foreign holdings of Ukraine government hryvnia bonds have dropped by 35% since mid-February, Foreign holdings of Ukraine government hryvnia bonds have dropped by 35% since mid-February, when they peaked at $5.2 billion, reports ICU, citing central bank figures. Since then, this figure has dro...

The new governor of Ukraine’s central bank promised foreign investors yesterday to maintain the bank policy of blocking any return of PrivatBank to its former owners, led by Igor Kolomoisky The new governor of Ukraine’s central bank promised foreign investors yesterday to maintain the bank policy of blocking any return of PrivatBank to its former owners, led by Igor Kolomoisky. “On Priva...

Tomorrow, Ukraine’s central bank board is expected to trim Ukraine’s prime rate from its current level of 6%, Tomorrow, Ukraine’s central bank board is expected to trim Ukraine’s prime rate from its current level of 6%, a record low for independent Ukraine.

Concorde Capital’s Evgeniya Akhtyrko warns this could be pushing on a string: Concorde Capital’s Evgeniya Akhtyrko warns this could be pushing on a string: “The extremely weak current conditions of Ukraine’s economy make the environment highly risky for lending. And we don’t be...

Heard on the Street, from Bloomberg: Heard on the Street, from Bloomberg: “The hryvnia was the world’s best performer against the dollar last year as high rates attracted foreign investors. It has fallen 14.18% so far this year.”

The Rada approved yesterday the ‘investor nanny’ bill designed to promote foreign and domestic investment The Rada approved yesterday the ‘investor nanny’ bill designed to promote foreign and domestic investment. Investments over €30 million that create over 150 jobs within five years will be eligible for...

By the end of 2023, ArcelorMittal Kryvyi Rih plans to spend $700 million in steel making upgrades that will clean the city’s air By the end of 2023, ArcelorMittal Kryvyi Rih plans to spend $700 million in steel making upgrades that will clean the city’s air, company CEO Mauro Longobardo told a group of environmental officials f...

Ferrexpo’s main unit, Poltava mining and processing plant, has inaugurated a 4-year, $100 million upgrade of its iron ore concentrating plants. Ferrexpo’s main unit, Poltava mining and processing plant, has inaugurated a 4-year, $100 million upgrade of its iron ore concentrating plants. Largely based on equipment from Finland’s Metso Outotec,...

With the goal of attracting 5,000 foreign IT specialists to Ukraine by the end of this year With the goal of attracting 5,000 foreign IT specialists to Ukraine by the end of this year, the State Migration Service starts this week a program of simplifying paperwork — at Ukrainian consul...

Ending a one-year impasse between the green energy industry and the Zelenskiy government, the Rada approved yesterday the ‘voluntary’ tariff cuts agreed last month with the sector: Ending a one-year impasse between the green energy industry and the Zelenskiy government, the Rada approved yesterday the ‘voluntary’ tariff cuts agreed last month with the sector: a 7.5% drop for win...

Switzerland-based IWG, owner of Regus and Spaces, will open its 10th workspace in Kyiv. Switzerland-based IWG, owner of Regus and Spaces, will open its 10th workspace in Kyiv. A Regus, the 1,700 square meter space will be in the new Avenue 53 business center, at 53 Peremohy Avenue. The w...

The new law includes a repayment schedule for what is growing toward $1 billion in unpaid electricity bills. The new law includes a repayment schedule for what is growing toward $1 billion in unpaid electricity bills. Under the new law, all these unpaid debts are to be paid in full by the end of next year. T...

In the three weeks since flights resumed between Ukraine and Antalya, about 20,000 Ukrainian tourists have visited the southern Turkey resort on the Mediterranean In the three weeks since flights resumed between Ukraine and Antalya, about 20,000 Ukrainian tourists have visited the southern Turkey resort on the Mediterranean, reports Ukrinform, citing Vyacheslav...

These unpaid bills, plus slow-moving talks between industry and government, led to a freeze this year of billions of dollars of green energy constructions projects. These unpaid bills, plus slow-moving talks between industry and government, led to a freeze this year of billions of dollars of green energy constructions projects. In 2018 and 2019, renewable energy ...

“On the upside, after more than three quarters of non-payments, “On the upside, after more than three quarters of non-payments, the industry can now expect the government’s Guaranteed Buyer to begin repaying some its debt before the end of the year, which will hel...

The down side, Kozakevych wrote, is that the Rada rejected a two-year prolongation of power purchases agreements The down side, Kozakevych wrote, is that the Rada rejected a two-year prolongation of power purchases agreements. Green energy producers literally took these documents to banks to win financing. He wr...

The The installed capacity of renewable energy facilities today is 7 GW. This figure excludes large hydroelectric power plants, renewable energy facilities in the Russia-controlled parts of Ukraine —...

Tuesday, July 21

David Clark, British analyst of European affairs, warns David Clark, British analyst of European affairs, warns in an Atlantic Council UkraineAlert blog: “Ukraine would be taking a big step backwards if it once again allowed oligarchs to run banks as priva...

With the Rada scheduled to vote today on a bill to cut ‘green tariffs,’ renewable energy workers are to demonstrate this morning in front of the Presidential Administration Building With the Rada scheduled to vote today on a bill to cut ‘green tariffs,’ renewable energy workers are to demonstrate this morning in front of the Presidential Administration Building, 11 Bankova Street...

Despite uncertainty about rates, work continues on two new wind farms. Southern Energy LLC plans to complete by February a $65 million, 76 MW wind farm near Odesa’s port city of Yuzhne Despite uncertainty about rates, work continues on two new wind farms. Southern Energy LLC plans to complete by February a $65 million, 76 MW wind farm near Odesa’s port city of Yuzhne, reports timer-...

Ukraine’s agricultural production fell by 19% during the first half of this year Ukraine’s agricultural production fell by 19% during the first half of this year, compared to the same January-June period last year, reports the State Statistics Service. Drought pulled crop producti...

As regional uncertainty mounts in the 100 days leading up to the US presidential elections, the US Navy joined the Ukrainian Navy yesterday for one week of exercises in the Black Sea As regional uncertainty mounts in the 100 days leading up to the US presidential elections, the US Navy joined the Ukrainian Navy yesterday for one week of exercises in the Black Sea. The annual Sea B...

Separately, Ukrainian Defense Minister Andriy Taran told the Rada Friday that Ukraine will hold exercises Separately, Ukrainian Defense Minister Andriy Taran told the Rada Friday that Ukraine will hold exercises, including anti-aircraft drills, at the end of September in southern Ukraine, timed to coincid...

Washington has approved the sale to Ukraine of 16 Mark VI high speed coastal patrol boats Washington has approved the sale to Ukraine of 16 Mark VI high speed coastal patrol boats, the US Embassy in Kyiv reports on Facebook. Capable of traveling at 100 kph, a Mark VI accommodates 19 sailor...

Wizz Air started flying yesterday out of Zaporizhia, its fifth Ukrainian airport, after Kyiv Sikorsky, Kharkiv, Lviv, and Odesa. Wizz Air started flying yesterday out of Zaporizhia, its fifth Ukrainian airport, after Kyiv Sikorsky, Kharkiv, Lviv, and Odesa. The Budapest-based low cost carrier started flights between Budapest an...

Betting that the EU will fully reopen to Ukrainians tourists and workers Betting that the EU will fully reopen to Ukrainians tourists and workers, Wizz Air plans to start flights from Kyiv Sikorsky to Naples and to Venice Treviso, and from Lviv to Milan Malpensa and to Rom...

Travelers arriving from coronavirus ‘red zone’ countries can now undergo PCR tests at Kyiv Boryspil, Kharkiv, Lviv and Odesa airports Travelers arriving from coronavirus ‘red zone’ countries can now undergo PCR tests at Kyiv Boryspil, Kharkiv, Lviv and Odesa airports. One test costs between $50 and $75. Travelers must still download...

The new head of Ukraine’s central bank signaled yesterday that he favors lower interest rates and a weakened hryvnia. The new head of Ukraine’s central bank signaled yesterday that he favors lower interest rates and a weakened hryvnia. “The National Bank of Ukraine must press forward with cutting the key policy rate,...

On Thursday, the Board of the National Bank is expected to cut rates at its pre-scheduled meeting. On Thursday, the Board of the National Bank is expected to cut rates at its pre-scheduled meeting. From 6%, a historic low for Ukraine, the rate is expected to be cut to 5-5.5%, economists say. At 5%,...

Boosting loans and fueling economic growth are keys for coming out of the corona recession, Boosting loans and fueling economic growth are keys for coming out of the corona recession, Shevchenko said: “Today Ukraine has a new challenge – economic recovery. And the National Bank, ...

Yesterday morning, the hryvnia fell by 2%, to 27.6 to the dollar. Yesterday morning, the hryvnia fell by 2%, to 27.6 to the dollar. Speaking after the fall, Shevchenko said he would maintain Ukraine’s floating exchange rate. Separately, Danylo Getmantsev, head of th...

Ukraine’s hryvnia ranks fourth from the bottom of 55 world currencies Ukraine’s hryvnia ranks fourth from the bottom of 55 world currencies, according to Economist magazine’s latest Big Mac Index of purchasing power parity. By this scale, the hryvnia is undervalued by 6...

Interest and exchange rates are not crucial for international lenders, Timothy Ash writes from London. Interest and exchange rates are not crucial for international lenders, Timothy Ash writes from London. “The big red line in all this for the IMF is not FX policy but banking reform,” he writes of the ...

Monday, July 20

Rising electricity use, more registrations of autonomous workers and re-openings of small and medium businesses are “ Rising electricity use, more registrations of autonomous workers and re-openings of small and medium businesses are “indicators of economic recovery,” Finance Minister Serhiy Marchenko told journalist...

The current hryvnia dollar exchange rate is “normal,” Minister Marchenko told reporters. The current hryvnia dollar exchange rate is “normal,” Minister Marchenko told reporters. Ten days ago, President Zelenskiy said the hryvnia is over valued by 10%.

Ukrainians declared UAH 94.5 billion [$3.5 billion] in income tax last year, 13% more than in 2018 Ukrainians declared UAH 94.5 billion [$3.5 billion] in income tax last year, 13% more than in 2018, reports the State Tax Service. Almost 505,000 Ukrainians filed their declarations by June 30, the de...