November Business News from Ukraine
Spondeo Ukraine Desk
Reliable source of news and business opportunities in Ukraine.
International investments
The European Investment Bank will allocate funds to Ukraine for two reconstruction projects
The European Investment Bank is poised to approve the initial €200 million out of €450 million for two projects in Ukraine by the end of 2023. The first project, Ukraine Recovery III FL, will receive €100 million to revitalize social and urban infrastructure damaged by Russian aggression and create new infrastructure for displaced individuals and host communities.?
The second project, Ukraine Water Recovery FL, will also receive €100 million to restore water systems in conflict-affected areas and regions with significant numbers of internally displaced persons. These funds are part of a larger €840 million credit allocation outlined in a Memorandum of Understanding signed in June 2023. Final approval is pending from the EIB Board of Directors and the EU4U Donors Committee.
Source: mtu.gov.ua
Ukraine agriculture recovery project: World Bank's vital support for farmers
A new World Bank initiative, the Ukraine Agriculture Recovery Inclusive Support Emergency (ARISE) Project, aims to aid over 90,000 farmers by providing affordable loans and grants for agricultural production. The agricultural sector in Ukraine has been adversely affected by Russia's invasion, impacting global food and nutrition security.
The ARISE Project, set for 2023 and 2024, will help secure approximately EUR 1.4 billion in working capital for farmers and grant assistance to small farms. Funded through a EUR 212 million World Bank loan, credit enhancement from the ADVANCE Ukraine Trust Fund, and a EUR 295 million grant from the URTF, this innovative project design allows for an additional EUR 138 million as further support becomes available. The initiative addresses the estimated EUR 37 billion damage caused by the conflict, providing critical support for Ukrainian agriculture amidst ongoing uncertainty.
Source: www.worldbank.org
German construction material manufacturer secures €12M and investment insurance for second Ukrainian plant
German bank KfW is extending a €12 million loan to Fixit Gruppe for a new project in Ukraine, with the German government providing guarantees, as revealed by Prime Minister Denys Shmyhal. This move aims to encourage German businesses to invest in Ukraine, with a focus on reconstruction initiatives. Several agreements are set to be inked during the sixth German-Ukrainian Economic Forum.?
Notably, insurance guarantees will safeguard German companies' production facilities in Ukraine against missile strikes. In Ukraine, Fixit Gruppe operates through KREISEL – Building Materials LLC, which runs a Fastov-based factory producing construction materials. Earlier, German Economy Minister Robert Habeck had announced investment guarantees for German firms in Ukraine, citing Fixit and Bayer.
Source: kmu.gov.ua
Miyamoto International collaborates with the Kyiv Region to revolutionize construction waste recycling
Kyiv's regional authorities are teaming up with international company Miyamoto International to develop a sophisticated construction waste recycling system. Miyamoto International, renowned worldwide for its expertise in post-disaster recovery, is extending its support to address the pressing issue of handling building debris in the aftermath of Russian armed aggression.
While the project is already underway in Ukraine with the support of international donors, further efforts are required to fine-tune the system. This includes comprehensive technical and economic validation and the mobilization of necessary funding, as confirmed by the Kyiv administration.
Source: koda.gov.ua
Business in Ukraine
A 30% Surge in Ukraine's Residential Real Estate Market?
The Association of Residential Real Estate Developers, RED Community, has reported a significant resurgence in Ukraine's residential real estate market, despite challenging wartime conditions, witnessing a remarkable 30% increase in property transactions.?
It is projected that nearly 295,000 contracts will be concluded in Ukraine by the year's end. Notably, the secondary real estate market has taken the lead, with property developers shifting their focus towards this sector.?
According to a DODOMU study, Kyiv's secondary market has experienced a substantial 30% rise in the average housing cost over the past year, now standing at 1,039.6 EUR per square meter, while newly constructed apartments have maintained a stable price of 1,164.3 EUR per square meter.
The growth in property transactions is a promising sign for both investors and homeowners, offering renewed confidence in the country's real estate market.
Source: ubn.news
The Ministry of Ecology in Ukraine is planning to establish five modern waste processing facilities in the Poltava region
The proposed locations for these eco-friendly plants are Poltava, Lubny, Kremenchuk, Kobelyaki, and Zinkiv. All these waste processing facilities are expected to be built at the same time, with a construction period of up to two years.
The funding for this initiative is expected to come from both international banks (covering 80% of the construction costs) and private sources (providing the remaining 20%).?
The Ministry aims to simplify the investment process in Ukraine's waste processing sector, making it more transparent and accessible to potential investors. To facilitate this, a working group has been formed to prepare the necessary documentation for European banks and offer support to interested investors in terms of project documentation.
Source: ubn.news
Ukrnafta Seeks Strategic Investors for 21 Promising Fields
Ukrnafta, the leading Ukrainian state oil and gas extraction company, is actively seeking strategic investors to collaborate in the development of 21 carefully studied fields across Ukraine. This unique opportunity encompasses 10 fields in the western region and 11 in the east, each having substantial reserves yet currently operating at lower production levels.
To build up this dynamic partnership, investors are invited to contribute funds for technological advancement, exploration, and production. Ukrnafta strongly favors the adoption of product-sharing agreements, granting investors the right to explore, extract, and develop minerals within specific subsoil areas at their own expense and risk, while receiving a share of the production in return.
Ukrnafta will provide the essential deposits and access to existing mining infrastructure, while investors are expected to bring comprehensive development plans, increased production capabilities, and financial support to the table.
Source: ubn.news
Ukraine adopts a new waste management law to address recycling and investment challenges
Ukraine is taking steps to address its waste management issues, with Deputy Minister of Ecology Victoria Kireeva revealing that only a small portion of waste undergoes sorting and recycling. To combat this, the government has introduced the "On Waste Management" framework law, which outlines what should be recycled and what should be disposed of in landfills. This legislation aims to attract investments and introduces financial tools, including an environmental tax on waste storage and the "polluter pays" principle. Additionally, a draft law for container and packaging waste has been registered, with plans to implement a waste management system similar to those in Europe, starting with several waste types.
Source: ukr.radio
Sygnivka will become the first municipal industrial park of Lviv
Sygnivka will become Lviv's first municipal industrial park. The park, spanning over 30 hectares, will host businesses from diverse sectors, including light and food industries, mechanical engineering, and printing. Specializations will encompass furniture, medical products, packaging, and construction materials.
Furthermore, the park will house a community center, featuring a science and technology center, as well as a business incubator for startup ventures. Anticipated investment in the park's construction, secured by the management company, is expected to exceed EUR 129,8 million. This transformative project promises economic vitality and innovation for the region.
Source: kmu.gov.ua
A new wind power plant will be built in the Poltava region
DTEK Renewables, a leading player in Ukraine's energy landscape, has taken the first steps towards the realization of the Poltavska Wind Power Plant (WPP) in the Hlobyne town community within the Poltava region. This initiative underscores the company's unwavering commitment to fortify Ukraine's energy security, even in challenging times.
It is noteworthy that in May, DTEK Renewables achieved a significant milestone by successfully launching a new wind power plant in the Mykolaiv region. Notably, this project marked a global milestone as the world's first wind power plant to be constructed amid ongoing conflicts.
Source: dtek.com
Epicentr network to introduce new shopping and entertainment center near Kyiv in spring 2024
The development, situated at the former Nova Liniya hypermarket site, represents a significant step in Epicentr's strategic expansion into large-scale shopping and entertainment centers.
This upcoming shopping facility will encompass a total area of 62,000 square meters, with Epicentr's retail space occupying 53,000 square meters, while an additional 9,000 square meters will be leased to various tenants. The company has already initiated the process of securing preliminary agreements with prospective occupants.
Source: ubn.news
Economy
The experts from the International Finance Corporation (IFC) and the World Bank (WB) have provided a comprehensive assessment of Ukraine's investment needs for post-war recovery
The assessment reveals that Ukraine is facing an investment gap of at least €385,6 billion to effectively recover from the devastating consequences of the conflict. In a scenario without the necessary reforms, private investments are estimated to reach more than €68,5 billion covering just 18% of the required investment needs.
The report identifies key sectors that hold the greatest potential for attracting investments:
September 2023 sees impressive 9.1% growth in GDP
According to the Ministry of Economy, the Gross Domestic Product (GDP) for September 2023 experienced a substantial growth of 9.1% when compared to the same period last year. Over the first nine months of the year, the overall GDP growth is estimated at an impressive 5.3% compared to the corresponding period in the previous year.
A significant contributor to the September GDP growth was the service sector, which displayed remarkable adaptability to changing market conditions. Additionally, the food industry saw an uptick in production during the same period. Positive momentum was also observed in mechanical engineering and building material production. Notably, the mining industry recorded an increase, largely attributed to the accumulation of coal and gas reserves in preparation for the winter season.
Source: ubn.news??
The New York Times reports that Ukraine’s economy, while still a long way from its pre-war levels, is displaying signs of relative stability
Last year, Ukraine’s GDP witnessed a sharp decline by 29.1%. However, this year, it is projected to grow by approximately 3.5%, marking a significant turnaround for the nation’s economic outlook. Analysts credit Ukraine’s ability to adapt to various wartime challenges as a driving force behind this positive trajectory.
Despite these positive indicators, Ukraine faces significant labor shortages. More than 6 million remain outside the country, with nearly a quarter uncertain about their return once the conflict ends, according to a recent United Nations survey.
However, Ukraine’s capacity to adapt and stabilize its economy during the war serves as a testament to its commitment to rebuild and remain strong.
Source: nytimes.com
IT & Technologies
Ukrainian company Studiopak expands into biodegradable packaging market with support from the New Level Program
Ukrainian company Studiopak is making a big move into eco-friendly packaging, thanks to a grant from the New Level program for processing businesses. The Ministry of Economy has shared that entrepreneurs can get up to ?8 million to help their businesses grow within the program.
Source: me.gov.ua
MacPaw broadens its horizons with the opening of a Boston Office
The Ukrainian IT company MacPaw is excited to announce its move into new markets and its goal to get closer to its users and potential partners worldwide. The company is especially focusing on the United States, where around 40% of its users are located. To achieve this, MacPaw is opening a new office in Boston.
The choice of Boston is because of the city's strong tech community and innovative spirit, which aligns with MacPaw's culture. While most of the team remains in Kyiv, the Boston office will serve as a central location for the international team.
Source: dou.ua
Finnish-Ukrainian News
Ukraine's Youth Centers Look to Finland for Inspiration and Business Growth
In October, youth centers in Ukraine embarked on a significant opportunity to learn from their counterparts in Finland and Ireland. These Finnish and Irish youth centers held a special quality label from the Council of Europe. The Ukrainian youth workers shared their experiences in working with young people during the conflict with Russia, and they also eagerly learned from the Irish and Finnish centers.
The visit to Finland was especially noteworthy as it focused on environmental youth work. Representatives from seven Ukrainian youth centers explored the educational methods and resources of their Finnish counterparts at the Marttinen Youth Center in Virrat, Finland.
By sharing experiences and best practices, these exchanges can enrich the youth work environment in Ukraine. Moreover, the collaboration with internationally recognized centers may open up new opportunities.
Source: coe.int
Ukrainian film days in Helsinki
Get ready for the VII Ukrainian Film Fest, a yearly Helsinki tradition, happening from November 16 to 19, 2023, at Kinopalatsi. This year's lineup includes four movies produced in Ukraine during Russia's invasion: "Dovbush," "Mavka," "Myrnyi-21," and "20 Days in Mariupol." These films span various styles, from historical tales to family-friendly animations and real-life documentaries, all sharing a common theme of defending Ukraine's freedom and territory.
Remarkably, many Ukrainian artists, including actors and moviemakers, have enlisted in the Armed Forces to protect their homeland. The event will honor their bravery and remember actor Pavlo Lee, who lost his life while serving. The Ukrainian Film Fest is part of the Ukraine Season of Culture in Finland, with the aim of showcasing Ukrainian culture, raising awareness about Ukraine's situation, and supporting artists impacted by Russia's invasion.
Source: ukrainians.fi
领英推荐
EastCham entered Ukraine
EastCham has recently established an office in Ukraine following a decision made during an extraordinary meeting of the Chamber of Commerce, driven by the belief that Ukraine will emerge as a crucial market for Finnish companies. Functioning as a TeamFinland operator, EastCham seeks to aid Finnish businesses in entering the Ukrainian market by serving as a networking platform between companies of both nations.
Managing Director Jaana Rekolainen highlights the organization's role in forming a support network and sharing essential information about the Ukrainian business environment, with significant partnerships already in progress. Aligned with Finland's national plan for Ukraine's reconstruction, coordinated by Ambassador Antti V?nsk?, the Team Finland cooperation involves various entities, including EastCham, Business Finland, Finnvera Oyj, Finnfund, and others. The initial phase, to be executed this year, focuses on addressing the needs of Finnish companies, opening trading channels, ensuring market access, and providing trade and investment financing solutions.
Source: eastcham.fi
UKRAINIAN - POLISH NEWS
Polish and Ukrainian ministers confer on the border blockage initiated by Polish hauliers
Polish and Ukrainian ministers, Andrzej Adamczyk and Oleksandr Kubrakov respectively, discussed the recent blockade of the Polish-Ukrainian border by Polish hauliers. The Ukrainian government expressed respect for the right to protest but highlighted the negative impact of the blockade on logistical routes, affecting both Ukraine and the European Union's economies. Over 20,000 vehicles are reportedly stranded on both sides of the border.
Despite the disruption, Ukraine affirmed that there are no discussions about changes to the Liberalisation Agreement and expressed readiness to engage in constructive dialogue to resolve the situation. Polish hauliers are demanding a return to the permit system for Ukrainian hauliers working in the EU, which was waived due to the conflict with Russia. They also seek stricter transportation rules under the ECMT. The Ukrainian government emphasized its willingness to assist Poland in resolving the issue and providing necessary explanations.
Source: pravda.com
Exploring New Opportunities for Collaboration between Poland and Ukraine
During the visit of Michael Zgurovsky, the Rector of Kyiv Polytechnic Institute, to Warsaw, he met with former Polish President Aleksander Kwa?niewski to discuss the imperative of strengthening Polish-Ukrainian cooperation in science, innovation, and professional training. The meeting included talks about an upcoming joint international conference, "The Role of Science and Education in Building a New and Safe Europe," scheduled for December 1-2 in Lublin. This conference, organized by scientists and politicians from Poland and Ukraine in collaboration with European Commission officials, aims to address crucial issues.
President Kwa?niewski personally oversees a session focused on the "Renewal Plan for Ukraine: An International Context," underlining the vital role of scientific support. Igor Sikorsky Kyiv Polytechnic Institute scientists are slated to contribute insights on the development of artificial intelligence in the future digital society on behalf of Ukraine. The deepening collaboration in this area is underscored as essential for bolstering the defense capabilities of both Ukraine and Poland.
Source: kpi.ua
According to a survey, 21% of startups are considering relocating from Ukraine following the war
On November 8, Kyiv hosted the presentation of the Polish-Ukrainian Startup Bridge research, focusing on the role of Ukrainian startups and institutions in the country’s restoration. Conducted in collaboration with partners, the Ukrainian Startup Fund and the Warsaw Stock Exchange, the analysis spans from 2021 and involved 107 startups this year.
Key findings include:
Lukash Vavak, head of the Polish-Ukrainian Startup Bridge, highlighted the global orientation of Ukrainian projects and encouraged other startups, including those in Poland, to follow their example.
Source: speka.media
Lviv News
The epic journey of “Dovbush”: Breaking records and captivating audiences
The film “Dovbush” has achieved a significant milestone by surpassing UAH 55 million in box office earnings. The State Agency of Ukraine for Film Affairs reported this achievement after the film’s sixth week of distribution.
Following the sixth weekend of screenings, “Dovbush” has grossed an impressive UAH 55,158,183, with a total of 390,795 tickets sold. The department expressed gratitude for the enthusiastic support of the audience, noting that the film has consistently filled theaters for over a month and continues to captivate an expanding viewership.
Earlier, “Media Detector” had announced that “Dovbush” had become the highest-grossing Ukrainian feature film of 2023.
Directed by Oles Sanin, “Dovbush” is a historical film that narrates the tale of Oleksa Dovbush, the most renowned leader of the Opryshki movement in the Carpathian region. The film portrays how the harsh dominion of local magnates compelled the Hutsul people to seek refuge in the mountains. Two brothers, Oleksa and Ivan Dovbush, are pushed outside the bounds of the law and become outlaws. Their journey takes different paths, as one seeks wealth and fame while the other seeks justice for their people.
Source: detector.media
Discover Mariupol's artistry in Lviv
On November 10 at 5:00 p.m., the Hotkevicha Palace (1 Kusevicha St.) will host the opening of the "Dreams" exhibition, showcasing the artworks of Mariupol Art School students. This event is a pivotal part of the "Cultural Deoccupation of Mariupol" initiative.
Attendees will have the opportunity to explore the imaginative creations of students from the Mariupol Art School named after A.I. Kuindzhi, who have shared their talents in Lviv. Additionally, the exhibition will feature works by Mariupol adults participating in an art therapy group. This group, established last fall at the Hotkevich Palace, has played an important role in enhancing the psychological well-being of Mariupol residents through the therapeutic power of painting.
The exhibition will be open for viewing until December 3. Entrance for free.?
Source: city-adm.lviv.ua
Events and conferences
SAMD 2023: Supporting Ukraine and Business Opportunities, December 6-7, Warsaw
Join the Solidarity Arbitration and Mediation Days (SAMD 2023) in Warsaw on December 6-7, 2023. This event aims to show support for those affected by the war in Ukraine and explore business opportunities. The conference will be held for a good cause, with funds going to the SAMD Scholarship Fund, benefiting Ukrainian students and young lawyers.
The program is about "Recovery, Reconstruction, and Modernization," focusing on dispute resolution, which can be essential for businesses in post-conflict regions. You can attend in person or online, with translations available. Visit the SAMD 2023 website for more details and to meet special guests from Ukraine: https://solidarityarbitrationandmediationdays2023.sakig.pl/
Navigating Export to Ukraine: Insights for Businesses, November 21
Discover crucial insights for Finnish businesses looking to export to Ukraine in our upcoming event. Join us on November 21, 2023, from 9:00 to 10:30 via Teams as we delve into the key considerations when exporting goods to Ukraine. Learn about special regulations, customs clearance, logistics, payment procedures, and how to adapt agreements to the current business environment and its challenges when dealing with Ukrainian partners. Our expert speaker from EY will guide you through these essential topics. You can also send your questions in advance to [email protected]. Don't miss this opportunity to enhance your understanding of exporting to Ukraine. Registration: https://www.eastcham.fi/tapahtumat/online-training-export-to-ukraine/
Empowering Ukraine's Green Recovery
The Ukraine Green Recovery Conference, hosted by the European Commission in Vilnius, will run for four days and focus on the business side of ecological recovery. It aims to discuss challenges, strategies, and practical solutions for Ukraine's green recovery efforts. The conference has two parts: the policy segment on November 28-29, which targets policymakers and civil society, and the business segment on November 30 to December 1, with a focus on introducing specific solutions, addressing barriers to a more eco-friendly economy, and connecting EU and Ukrainian companies. This event is designed for policymakers, mayors, businesses, the New European Bauhaus community, and civil society, with priority given to in-person attendance based on registration order.
Ongoing Tenders
Request for Quotation for Supply of Three-Stage Piston Compressor with Electric Motors (UA1-2023-7061.2)
Opening Date: 14 Nov 2023
Closing Date: 28 Nov 2023
Link: IOM
Request for Quotations for Provision of International Shuttle Transportation Services (UA1-2023-1354)
Opening Date: 13 Nov 2023
Closing Date: 27 Nov 2023
Link: IOM
Services For The Development Of Design And Estimate Documentation For The Object: "Current Repair Of Classrooms (404,408,207, Corridor Of The 4Th Floor) Of Educational Building No. 1 On The Street. Vinnychenka, 30, Lutsk, Volyn Region"
Opening Date: 14 Nov 2023
Closing Date: 22 Nov 2023
Link: GlobalTenders
UA1-2023-7073 - Request for Quotations for Supply and Delivery of Pumps with Various Purposes and Control Cabinets
Opening Date: 09 Nov 2023
Closing Date: 23 Nov 2023
Link: IOM
UA1-2023-1278 - Request for Quotations for Provision of Services for Physical and Technical Security for IOM Ukraine Premises
Opening Date: 09 Nov 2023
Closing Date: 23 Nov 2023
Link: IOM
Request for Quotations for Supply of Tablets (UA1-2023-12225)
Opening Date: 09 Nov 2023
Closing Date: 22 Nov 2023
Link: IOM
Request for Quotations for Supply of Tourist Equipment for Organization in Zhovti Vody (UA1-2023-12222)
Opening Date: 09 Nov 2023
Closing Date: 30 Nov 2023
Link: IOM
Software Packages For Document Management Systems
Opening Date: 14 Nov 2023
Closing Date: 25 Nov 2023
Link: GlobalTenders
Just Transition Web Platform Development
Publication Date: 07 Oct 2023
Closing Date: 24 Nov 2023
Details: Prozorro