EXPERT OPINIONS

EXPERT OPINIONS

31.03.2020 Analytics

What are the prospects for the development of foreign and domestic business in Ukraine in the next three years?

Petro Rondiak, the Chairman of the Board of Winner Group Ukraine

At Winner, we have always been optimistic about the prospects of Ukraine. Our investments reflect the long-term intentions for staying in the country. In the next three years, we look forward to implementing the reforms proposed by the current government, especially in the judiciary and the rule of law. Since July 2019, we have already seen a double growth in sales of new cars.

 

Viktor Shevchenko, the CEO of the ZAMMLER logistics group

I see significant prospects for business development in Ukraine and foreign investment inflow in infrastructure projects in particular. Logistics and warehousing are now a priority. Everything depends on various political and economic processes, including the stability of the national currency, as well as the forecaster USD exchange rate. The investment attractiveness of a business is an indicator of profitability and future return on investment. In warehouse logistics, the rental price is not less than $5.5-6 per one square meter. With a stable dollar exchange rate and the rental price of $6 or more, the positive conditions stimulating the enormous flow of investment in the construction of warehouses will be formed. We should add infrastructure – roads and interchanges, and Ukraine will finally start making money on transit cargo shipments to and from east. The tendency for developing business and attracting investments is positive, but at the same time a potential investor should get an understandable project, have a clear algorithm of actions and at least be aware of the volume of investments and understand the terms of their return.

 

Anna Derevianko, the Executive Director of the European Business Association

In my opinion, the prospects are good. There are no radical changes in business. The current government has every intention of harmonizing Ukrainian legislation with EU norms, simplifying the regulatory environment, and improving the entire business environment. There are still some complex basic issues, for example, in the justice system and law enforcement agencies, but these issues have existed before. So, if the government continues its course and supports real transparent investors and entrepreneurs, I believe that the trend for development and improvement of the business climate in Ukraine will continue. There may be discussions about the pace of attracting investmens. If the pace of basic reforms accelerated, the attraction of investment could be more dynamic. However, even if the current pace remains, the economy’s smooth growth and macroeconomic stability must be conducive to business growth.

 

Yaroslav Nitsak, the CEO of Ericsson in Ukraine

Ukraine is confidently moving towards a digital future. Over the last few years, we have seen a rapid leap in telecommunication technology – the extra fast introduction of 3G and 4G. This is a defining step towards the digital transformation of the country. And we still have room for growth.

5G technology is becoming more popular globally. Ericsson now has 24 commercially operating networks. In Ukraine, 5G technology was first tested in May 2019 – Ericsson and Lifecell demonstrated the advanced opportunities of the latest technology. According to the Ministry of Digital Transformation of Ukraine, in the next three years, we can expect commercial implementation of 5G technology, which means automated manufacturing, smart cities, flexible jobs, telemedicine, remote heavy industrial equipment management, etc.

Ericsson has been present in the Ukrainian market for over 120 years. As the world leader in telecommunications, we are ready to continue supporting mobile operators in introducing the latest technologies in the Ukrainian market.

 

Ivan Bechko, the CEO of Kärcher LLC

While answering your question, I should mention many recent positive changes, in particular, in the fiscal and regulatory fields. We can see stable exchange rates and general stability in the banking sector.

Our vision for the near future is based on an optimistic scenario. We believe in positive dynamics in the next three years, given the market growth, the level of wealth of people and positive trends in various economy sectors.

Important factors that will significantly affect the development dynamics are:

— people, especially in the context of retaining qualified staff;

— progress in the fight against corruption;

— judiciary.

As for the plans of Kärcher LLC, we believe in the country and are going to build own modern office center in the next two years, which, in addition to office premises, will include a demonstration and exhibition center, the Kärcher Academy, a service center, a car wash complex.

 

Pavlo Kharchyk, the President of Association of market operators of medical devices

To my mind, it is now a great moment for investing in Ukraine. Today it is a country of active economic development with relatively affordable resources, which boosts the rapid return on investment. As for the medical device market, which is closer to me, I can state that the legislative base is as adapted to the European one as possible, the market is competitive, the state optimally regulates the market. Noteworthy, all this happens with the help of the activities of the AMOMD (Association of market operators of medical devices).

 

Volodymyr Osadchuk, the CEO of COFCO Agri Resources Ukraine

Ukraine is now on the path of rebooting and changing. Today we see many foreign business persons investing in sovereign bonds of Ukraine. We talk a lot about financing but don’t see actions of portfolio investors who are ready to invest in production, technology, and infrastructure. The state, together with local authorities, has to draw conclusions and handle the situation for creating transparency and stability in tax, legal, regulatory, and other areas aimed at protecting producers and investors.

Another factor for business development in Ukraine is competition laws, which will be aimed at creating high-tech production processes, intellectual property, and so on, but with minimal impact on the public or private monopoly companies’ activities.

Recently, many valuable ideas of changes towards attracting and protecting domestic and foreign investors have been declared. We hope that these ideas will be embodied in the legislative and regulatory acts, and every branch of government will make effective decisions to facilitate competitive conditions for attracting investments, as well as safe and transparent business in Ukraine.

 

John Shmorhun, the CEO at AgroGeneration

I see increased interest in Ukraine in many spheres from foreign investors.  There are a number of government projects that are being outsourced such as the Mykolaiv terminal to Qatar, concessions for airports, railroads and roads throughout Ukraine.  Infrastructure projects will stimulate the economy by creating jobs and improving the movement of products.

The agriculture business will only benefit from these investments.  As Ukraine’s exports continue to growth, countries including the EU countries will benefit from high value Ukrainian products.  Brexit will also give Ukraine direct access to the UK which imports much of its food.

I am emboldened by Ukraine’s pace to become a significant player in the global economy.

 

Håkan Jyde, the Managing Director of Scania Ukraine 

Scania as a leading European truck maker has been in Ukraine since 1993, and the past couple of years have been the most successful ones for us during our 27 year history in the country. We remain cautiously optimistic and expect business to improve further, hence we continue our investments in the Ukrainian market in order to be able to properly support our growing base of customers all over Ukraine.

 

Andreas Flodström, the co-founder and the CEO at Beetroot and Beetroot Academy

I’ve been working in the Ukrainian IT sphere for more than 7 years. Throughout my time, I have seen a growing number of investment opportunities. This is a result of Ukraine’s current transition. Old, bureaucratic systems are crumbling and giving way to new, progressive paradigms and European values. Today, people in Ukraine are more open to change. They are actively engaging in building better communities and creating attractive business opportunities for foreign investors. If you dare, now is the perfect window of opportunity to invest in Ukraine, not in 3 or 5 years. It may involve some risks, but the upsides are greater now than years down the road.

The IT sphere is one of the fastest developing branches of the Ukrainian economy and I think it will soon expand even more. In Ukraine, there are many skilled, well-educated, and ambitious tech experts, who continue spurring the country’s economic growth. However, we can also see that business opportunities are mostly concentrated in larger cities like Kyiv, Lviv or Kharkiv, whereas small towns remain underdeveloped. I believe that it is important to step away from this model and focus on the sustainable development of mid-sized cities, nurturing and growing the middle class throughout Ukraine, and providing equal educational opportunities for people in both big and small cities.

Bearing this in mind, here, at Beetroot, we decided to build a network of IT academies that are opening across Ukraine and helping people start careers in IT. We see this as our contribution to the equal development of Ukrainian society while strengthening the IT industry with more talent.

 

Zafer Ozbay, President TUSIB-Union of Industrialists and Businessmen of Turkey and Ukraine

President Volodymyr Zelensky and his goverment encourage foreign investors to invest in Ukraine. There is a huge business potential in all fields. It is good, but there are still difficulties in reality: basic infrastructure needs can’t be provided on time; there is a shortage of qualified human resource; there are still problems in some govermental organizations trying to slow down the realization of investments. Therefore, foreign Investors should not be affraid to work with professional consultancy companies during the preparatory phase and they should analyze all aspects very deeply and carefully before starting the investment.

 

Nadiya Kuziv, the Executive Director of Accountor Ukraine

IT, pharma and agricultural industry will remain the most promising ones. However, the attractiveness level of agriculture for foreign investors will to a certain extent depend on opening up the Ukrainian agricultural land market to foreigners. It is too early to anticipate a certain decision on this issue, as the bill on the land is passing the second reading in the Verkhovna Rada at the moment.

The launch of renewable energy plants built in 2019 and the investments in the infrastructure and the social sphere will ensure the development of alternative energy in the coming years. Since there is no decision on the green tariff so far, the prospects for new investors to enter the Ukrainian market are still unclear.

 

Other articles

  • DiDi taxi service is planning the IPO on the Hong Kong Stock Exchange in 2021
    News

    DiDi taxi service is planning the IPO on the Hong Kong Stock Exchange in 2021

    The taxi service of the international Chinese company DiDi Chuxing intends to conduct the initial public offering (IPO) on the Hong Kong Stock Exchange. As reported by Reuters on Tuesday, citing sources, this may happen in the first half of 2021. By the time of the IPO, the estimated value of DiDi will be more […]

  • IBM’s revenue exceeded forecasts due to the growth of the “cloud” business
    News

    IBM’s revenue exceeded forecasts due to the growth of the “cloud” business

    US International Business Machines Corp. (IBM) slightly increased its net profit in the third quarter of 2020, despite on the declining revenue in the context of the coronavirus pandemic, forcing businesses to delay implementation of projects to preserve capital. According to the press release of the company, Net income in July-September was $ 1.7 billion, […]

  • Intel will sell for $ 9 billion divisions to produce memory chips
    News

    Intel will sell for $ 9 billion divisions to produce memory chips

    Intel Corp. sells to South Korean the SK Hynix Inc. unit in the field of manufacture NAND memory chips and the storage devices for $ 9 billion. The agreement includes manufacturing operations for NAND chips SSD-drives, NAND components and semiconductor wafers, said in the press release from Intel. SK Hynix will also receive the plant […]

  • China’s economy grew by 4.9% in the third quarter
    News

    China’s economy grew by 4.9% in the third quarter

    According to the National Bureau of Statistics of China, the country’s GDP grew by 4.9% year on year in the third quarter. China’s economy is recovering the fastest in the world from the COVID-19 pandemic – GDP decline by closing factories and quarantine in the first quarter of the year already fully compensated, and the […]

  • Alibaba invests in the largest hypermarket operator in China
    News

    Alibaba invests in the largest hypermarket operator in China

    The largest Chinese Internet company Alibaba Group Holding Ltd. will acquire from Auchan Retail International shares of the largest Chinese hypermarket operator Sun Art Retail Group for $ 3.6 billion, according to the press release from Alibaba. “Alibaba is investing $ 28 billion ($ 3.6 billion) to acquire … 70.94% of Auchan Retail’s stake in […]

  • LVMH`s revenue for the nine months fell by 21%
    News

    LVMH`s revenue for the nine months fell by 21%

    Revenue of French LVMH Moet Hennessy – Louis Vuitton for the first three quarters of this year fell by 21% year on year and amounted to 30.348 billion euros, according to the company’s report. The strongest decline in revenue in this period was recorded in the section “selective retail trade” and “watches and jewelry” – […]

  • NASA has signed the contract with Nokia to launch 4G on the moon
    News

    NASA has signed the contract with Nokia to launch 4G on the moon

    NASA has provided to Nokia with $ 14.1 million to deploy 4G (LTE) network on the moon. The US space agency noted that telecommunications networks of this standard will be able to provide more reliable than radio signals, communication on the Earth’s satellite, where it is planned to build the lunar base by 2028. NASA […]

  • Ministry of Health: medication from COVID-19 are already being transported to Ukraine
    News

    Ministry of Health: medication from COVID-19 are already being transported to Ukraine

    Chief State Sanitary Doctor, Viktor Liashko, said that the drug “Remdesivir”, which was planned to treat patients from the coronavirus, have already been purchased, and the party is taken to Ukraine. He said the news in the interview with Radio Svoboda on Sunday, October 18. “And now it is being transported to the territory of […]

Read also

EXPERT OPINIONS
News

Serbia opens its market for Ukrainian fowl

Ukraine and Serbia have approved a veterinary certificate form for export of fowl. The companies which can export to the EU only could perform the deliveries. Public service of Ukraine on safety issues of foodstuff and consumer protections (PSUSIFCP) and veterinary service of Serbia have approved a form of the veterinary certificate for export of […]

Next
EXPERT OPINIONS
News

Kiev bank intends to sue with the Creative of the $ 15 million debt

Kyiv bank “Piraeus Bank ICB” asks the Commercial Court of Kirovograd region to recover from the “Creative”company, which entering into the “Creative Group”, $ 15,629,000 of the loan debt,  – reports the “ProAgro”. This is stated in the bench ruling of the court from January 27, 2016. “Piraeus Bank ICB” filed a lawsuit to recover […]

Next
EXPERT OPINIONS
News

The transaction between Dow Chemical Company and DuPont will be the largest on the market of mergers and acquisitions in 2015

The agreement between two chemical corporations will make a company with a market value of $ 120 million. According to information of WSJ, two companies began to discuss  the merger in November 2015. Now representatives of the enterprises carry out the last part of the negotiations between the leaders. When companies announced about agreement between […]

Next
EXPERT OPINIONS
News

Yahoo refused to realize its business for $ 30 billion

Leaders of Yahoo have told  that they refused from the realizing  of the business to China’s Alibaba in the amount  of $ 30 billion. The Company  also thinks what they have to do with the Japanese peace of the business, which is estimated at     $ 8.5 billion. (In the Japanese company they owns […]

Next
EXPERT OPINIONS
News

Megafon Company entered into a deal with Mail.ru

Russian operator MegaFon made a deal with Mail.ru shareholders to acquire a controlling stake shares of the corporation. According to official information, the purchase of securities was effected by signing the agreements with companies such as New Media and Technology Investment LP, New Media Technologies Capital Partners Limited and Ardoe Finance Limited, who are the […]

Next
EXPERT OPINIONS
News

Foreigners invest nearly 300 million UAH in the furniture factory

Spouses McMahon, the owners  of the “Morgan Fenice company ” –  a large manufacturer of the upholstered furniture  (Morgan Furniture LLC, Kvasyliv,  Rivne region), are going to invest 280 million UAH (€ 9.3 million) within the next three years to expand production capacity and specialty-equipment. This will increase the volumes of production and export by […]

Next
EXPERT OPINIONS
News

Ukrainian restaurateurs sue for Oliva trademark

Ukrainian restaurateurs cannot share the trademark Oliva. The former partners, Dmitry Plyatsuk the owner of marks Viva Oliva and Yuriy Kolesnik he owner of Oliva served counterclaims to revoke the trademark of the competitor. January, 20 Solomenskiy District Court of Kiev will consider the claim of Viva Oliva to the Ukrainian Institute of Intellectual Property […]

Next
EXPERT OPINIONS
News

The Cabinet of Ministers of Ukraine is waiting for the fourth tranche of the loan from the IMF

The Ukrainian authorities are waiting for the new credit transfer revenues from the International Monetary Fund, according to Ukrainian news agencies Ukrainian News. The government is almost assured of getting a regular cash flow, referring to all the fulfillment of the conditions: the transition of Privatbank in public ownership and approval of the state budget […]

Next
EXPERT OPINIONS
News

The SEC has begun testing the Chinese video service iQiyi

The US Securities and Exchange Commission (SEC) began to test the Chinese video streaming service under the iQiyi subscription, similar to Netflix. The inspection was reported by the Chinese company. In this statement, the ADR companies which trading on the Nasdaq, fell by 13% in price. The paper of Baidu, the main shareholder of iQiyi, […]

Next
EXPERT OPINIONS
News

VW: scandal continues

In September 2015 it became known that diesel engines VW and Audi brands have been equipped with special incorrect installation that could not detect the level of emissions when they were being tested. So because of this program, the emission of harmful substances into the atmosphere while driving on such cars exceeded all established norms, […]

Next
EXPERT OPINIONS
News

American business will receive a $ 1 billion investment from Fiat Chrysler

After criticism of Donald Trump on autoenterprise facilities in Mexico, the US company for the construction of Chrysler cars decided to take only the local development of vehicles. It is reported by Ukrainian investment portal InVenture. So the company decided to create 2000 additional jobs in the United States planning to invest $ 1 billion […]

Next
EXPERT OPINIONS
News

Siemens buys Mentor Graphics in the closest time

The German Siemens AG corporation reported about the acquisition of the American producer Mentor Graphics. The transaction is estimated at $4,5 billion: the price of one share constitutes $37,25. Mentor Graphics main activities are: designing of cable systems, printed circuit boards, functional verification, development of the built-in software etc. The company merger is directed, first […]

Next
EXPERT OPINIONS
News

NBU declared Avant-Bank bankrupt

National Bank of Ukraine (NBU) classified Avant-Bank (Kyiv) as insolvent. The decision approved by the Decree №44 of January 29, 2016, presses the service of the National Bank. NBU explained the decision as the shareholders of the bank have no “clear plans for the replenishment of the bank’s liquidity and default of customers’ operations within […]

Next
EXPERT OPINIONS
News

Experts predict a low oil price in September

The price of oil in September will remain low, perhaps even a slight decrease from current levels below $ 40 per barrel. In October, the downward trend is likely to be interrupted and a gradual growth will begin, which will accelerate in November and December, according to TASS experts. “There will be no serious drop […]

Next
EXPERT OPINIONS
News

Association of telecom providers USTelecom will appear in federal court in the case of “net neutrality”

The Major Trade Organization USTelecom, which represents the telecommunication companies in the United States, will speak at the court with a lawsuit, demanding for releasing it from the new “net neutrality” rules in the Internet. The new rules of the FCC equate Internet to conventional telecommunication channels and oblige providers equally apply to any traffic […]

Next
EXPERT OPINIONS
News

Tim Cook received options from Apple for 1 million shares of the company

Apple has given to CEO Tim Cook two options which can be converted into approximately 1 million shares of the company under certain conditions. This follows from the documents submitted by the corporation in the Securities and Exchange Commission (SEC) of the USA. The first option is 333,987 shares with the restrictions, which the head […]

Next
WP2Social Auto Publish Powered By : XYZScripts.com