agency Standard Poor `s reported that the continuing political risks in Ukraine after the elections will not prevent the new government to adopt the budget and to resume work with international creditors. This will allow the state to cover the budget deficit and minimize the risks of default. Ukrainian experts confirm the optimistic assessment of SP, since the volume of external payments in 2010 were negligible.

International rating agency Standard Poor `s (SP) said on Friday that despite the numerous threats to financial stability, the situation in the public finance of Ukraine in 2010 will gradually improve. Expected GDP growth of 4% and the resumption of cooperation with the International Monetary Fund (IMF) in late spring and early summer. Threat to the financial system of Ukraine will be political instability, change of the National Bank and the law “On state social standards and state social guarantees”.

SP

Experts believe that the law will not work because it will increase the budget deficit to 2,5-7% of GDP. At the same time, the remaining amount of the IMF loan in the amount of $ 5,500,000,000 will be able to cover only 5,5% of the budget deficit, and the possibility of attracting other external borrowing is limited. In 2010, Ukraine has to pay a foreign loan to 35.1 billion Japanese yen ($ 392.3 million), and therefore the SP continues to believe that “default Ukraine is not inevitable.”

No 2010 state budget, according to SP, a positive effect on financial stability. “This means that at least during the I quarter of 2010 the new government will be able to make expenditures in its sole discretion within the lower budget costs. Read the rest of this entry »

steady growth of gross harvest of cereals in the last 6 years should not become an occasion for relaxation. With such a warning acted central government of China, which for the first time in the new year resolution to devote, as it was in previous years, the agricultural sector. Necessary to ensure stable grain production and supply of grain, says the d1000ecision, which provides guidance and advice to address the problem of paramount importance.

Thus, the note referring to the document “number one”, the analysts, the country”s goal - to gather in 2010 at least 500 million tons of the crop, if it will not interfere with the serious natural disasters. As analysts say, a good grain harvest will strengthen the country”s capacity to overcome the effects of the global financial crisis and will help bring down inflation expectations in the domestic market.

Gross grain harvest in China will not fall below 500 million tons in 2007, when this milestone was reached first in the new century. Before this country was able to reach a level only in 1998, but then keep rising trend failed and soon the grain has gone sour.

To prevent a recurrence of this situation, in November 2009 the State Committee on Development and Reform Commission announced a program aimed at strengthening capacity-building for grain production: the amount of grain harvest in the country by 2015 should grow to 530 million tonnes by 2020 - 550 million and tons more. Read the rest of this entry »

agribusiness companies in Ukraine are increasing their presence in the markets of European countries. The next factor contributing to this trend may become a possible solution to the import into the European Union (EU) Ukrainian chicken. According to financial analyst for the group of companies (CC) Syncom Andrei Patioty, the likelihood is high that in June-July 2010 the existing restrictions will be lifted, according to a press release of the CC.

in May 2010 will be a re-inspection of Ukrainian producers of poultry products by specialists of the European Commission”s Directorate General for Health and Consumer Protection (SANCO). European experts have already conducted an inspection Ukrainian poultry in June 2009, but their results have not led to the admission of domestic business in EU markets.

At the same time, experts GC Syncom not see the results of last year”s inspection significantly negative. “The comments mainly related to not do business or to animals that are usually very carefully inspected by European officials, and legislative gaps,” - notes APatiota.

Possible lifting of the ban in his opinion, would lead to the allocation of the Agricultural Producers Ukraine”s quota in the European market 100 tons of chicken meat per year (with a total market of about 12 million tons). Given a minimum of 25% difference in price for the product on the domestic and European markets, it also will enhance the profitability of the business. An additional advantage of Ukrainian producers due to geographical proximity is the possibility of supply in the EU expensive fresh chilled meat. Their American and Brazilian competitors are forced to occupy a niche of cheaper frozen meat.
These perspectives allow Ukrainian agricultural sector in an active capacity expansion. Read the rest of this entry »

Ukraine needs a profound change in approach to monetary and exchange rate policy, which would serve the interests of attracting investments and the transition to investment-dependent path of development with the whole spectrum of problems caused by the crisis. Told the director of the Institute of Economics and Forecasting of the National Academy of Sciences of Ukraine Valeriy Geyets during a meeting of the Finance Press Club.

scientist noted that t1000he subsequent uncertainty in such matters as the problem of inflation, exchange rate, methods for their regulation, the question of how to influence the money supply and, consequently, the demand will lead to national economic growth by only 2-3 %, which inevitably increase social problems.

“ensures that this growth will be accumulated problems in the social sphere, of consumption. It is about the need to grow by 5-6% as a minimum - only in this case are laid perspective is that over time the accumulated problems can be solved” - noticed Geyets.

According to him, the situation with economic growth through exports and the stimulation of domestic demand through external borrowing, which lasted nine consecutive years, is now impossible.

“Both in 2010 and subsequent years will not work. We must focus on the investment. appears extremely difficult task: how and in what way will appear to invest in Ukrainian economy and what the scenario” - the expert said.

Geyets stressed that now there is a serious task of modernization of the real sector of the economy, because during the entire period of economic growth, this issue has remained out of sight of both domestic and foreign investors. Read the rest of this entry »

While the whole world fighting for the right production and marketing of an increasingly technology-related products with additional income, Ukraine almost two decades, is moving in the opposite direction - to the deindustrialization of the national economy, said Dr. Sergei Korablin Economic Sciences.

“In the early 90″s, few talked about the risk of commodity redevelopment of Ukraine. Today it is no longer a risk and not a threat but a fait accompli, not causing any discussions,” - states Korablin.

According to the expert, on the eve of the crisis the share of commodities within the domestic industry was 70% against 14,6% of investment goods. Similar relationships are observed in the structure of merchandise exports. Moreover, if in the 80 years it dominated the production of machinery - approximately 37% and the share of ferrous metallurgy was two times less (18%), in the 2005-2008 year have been observed directly opposite proportions: Engineering - 15% black Metallurgy - 40%, says the analyst.

For example, during 1990-2008, the proportion of machinery in the industrial structure of the country has declined by half - from 31 to 14%, while in the steel industry, by contrast, has grown - from 11 to almost 27%.
“Independent Ukraine, it seems, has not realized that its legacy aircraft industry - technological luxury, the right of possession which belongs to only a few countries. And if, contrary to national policy, it is not lost, it was only due mortgaged once the reserve of strength, which is not limitless. Moreover, the domestic aviation industry has long lost the signs of mass production, huddled up to build a few planes a year “, - noted the expert.

Thus an apparent “attenuation” of innovation, notes Korablin. Thus, the associated development of industrial production declined in 2003-2008 tripled. Read the rest of this entry »

Fitch Ratings said that the majority of rating actions in respect of banks in the world were positive in 4 square meters. 2009, which was the first such quarter since the beginning of the financial crisis in 3 square. 2007 At the same time, this trend was mainly related to the large number of rating actions after a positive rating changes with regard to Turkey (”BB” /Stable), as well as maintaining a low level of negative rating actions, in contrast to the situation in previous quarter. The share of positive rating actions on banks increased from 24% in 3 square. 2009 to 54% in 4 square. 2009

In 4 th quarter 1968 Fitch has a positive rating actions in the banking sector (3 square. 2009: 22) from a total of 126 actions. The 4 square meters. 2009 ratings have been upgraded 19 banks compared with 7 banks quarter earlier. About half of the positive rating action was due to affirmative action in regard to Turkey (”BB” /Stable) rating is 4 square meters. 2009 were placed on the list Rating Watch “positive”, and then increased later in the same quarter. 70% of banks rated by Fitch in the world at the end of 4 square meters. 2009 had a “Stable” outlook.

“Despite improvements in the major developed economies, Fitch expects that the banking system will remain under pressure - said Jerry Roklif, managing director of Fitch”s financial institutions. - In general, for banks is the lag on the recovery of the economy, so as unemployment rates in most major economies have not yet reached the peak, continuing to put pressure on asset quality. But the bulk of the banking systems were able to significantly rebuild its capital base during the year, primarily at the expense of taxpayers, but also increasingly by private capital, which is the main sign of restoration of confidence. Read the rest of this entry »

To implement clearing operations now will need to obtain permission of the National Bank of Ukraine.

This is provided for the NBU Board of January 5, 2010 № 6 “On approval of changes to the activity in Ukraine domestic and international payment systems” (registered in Ministry of Justice of Ukraine - 30 January 2010), which has UNIAN.

“requirements of this provision apply to entities that have concluded agreements on the membership /participation in international payment systems to banks and non-bank institutions, which created a domestic /international payment systems, to legal persons who intend to carry out clearing operations and calculations, to other entities, as well as individuals who are subjects of relationships that arise during the transfer of funds “- the document says. Read the rest of this entry »

As it became known “EI”, Kharkiv regional hozsud invalidated a collateral agreement on foreign exchange credit between Ukreximbank and Kiev company Acropolis-K. The bank is suspected to be victims of legal tyranny.

The petition to Ukreximbank company Acropolis-K as a participant in a joint partnership with the companies” nakfa “and” Arch Investments asked the court to in1000validate the contract of mortgage of land in a prestigious district in Kiev region on foreign exchange loans to seven-figure sum. The reason for the complainant considered that the transfer of land in security for the loan was not agreed between the parties to the joint partnership.

The bank”s press service reported that the court ruled in favor of the complainant and the suspect could become a victim of legal tyranny. “The judge sort out the problem and announced the decision in favor of the complainant for 20 minutes, although the bank has provided sufficient reasons for rejecting the claim - said the press service .- The bank, which in the course of working off a loan project took three weeks just to check all the legal nuances provide the court with documents showing that the necessary transfer of mortgage of land permits participants sharing partnership was taken at general meetings of the respective companies. Moreover, the claimant is the founder and sole member companies who have conveyed their property to the bank as collateral. ”

adds piquancy to the situation by the fact that at the time the loan company nakfa “and” Arch-Investments were registered in Kiev. However, at the time of filing of the claim by the representative of “The Acropolis-K” urgently re-registered in Kharkiv. Now the bank to appeal and appeal to the Prosecutor”s Office with a request from the state to participate in the proceedings before the Commercial Court of Appeal Kharkov. Read the rest of this entry »

VolWest Group, which owns a network of food “Our Land”, calculates the end of the year to attract at least $ 7 million by selling shares in the network, said yesterday in a group. “This is a minority stake that is up to 25%. However, we are ready to consider any proposals”, - explained CEO VolWest Group Igor Ferenc. The company notes that the market has stopped falling and is now a good time to resume the pace of development. At the expense of attracted investments, the company expects to open this year, about 20 retail stores and to increase the share of retail sales in the Western region from 3% to 10%. “The overall potential of retail in this region can be up to 7 billion UAH”, - the company says.

“Our Land”, which opened its first store in 2001, today unites 55 stores, 29 of them franchised. In 2009, net turnover amounted to USD 450 million (-4.9%). VolWest Group also owns distribution companies Smart Logistics, a company selling heat, refrigeration and air conditioning equipment “Tehnomodul Ultra and sports-entertainment complex” Adrenaline City “in Lutsk. The main owner VolWest Group is an entrepreneur Victor Korsak.

looking for customers “Our Land” won at the end of 2008. The proposal, which was received by potential investors, it was stated that on sale 63 stores (mostly in the format “at home”) in 19 areas of commercial area of 350 square meters. m to 1300 sq. M. Then, for the entire network retailer wanted $ 50 million just for the assignment of lease rights, plus the sale of certain points in their companies, “- said on condition of anonymity one of the market participants. Read the rest of this entry »

Russia”s central bank is considering the closure of bureaux de change, which involved only one type of operations - conversion, said director of the department of licensing and financial recovery of the Central Bank of Russia Mikhail Sukhov, at a meeting with bankers in Bor. There are banks that provide customers with a wide range of services, which include foreign exchange transactions, passed the word Sukhova one of the participants, but there are those that deal almost exclusively foreign exchange, creating an extensive network of exchange offices - they have a small margin, but large volume of transactions and they interfere with living a normal banks. “With this second group, we will fight and in some cases, simply closing” - cut Sukhov.

The bank has additional offices, operational offices, credit and cash offices, the currency can be exchanged in the usual office of a bank, and the form of bank offices in the form of the exchange points may disappear, transfers to another banker, who had listened to an address Sukhova. First, said Sukhov, consumers are now less than 10-15 years ago, use the services of bureaux de change, and secondly, and this is probably a good reason, the client there may simply be deceived. If the exchanger will not, CBR will be better able to control the exchange operations of banks, concluded Sukhov.

idea of closing exchangers few months ago expressed the Russian Central Bank chairman Sergei Ignatiev, remembers one of his friends. But Sukhova can be understood and so that the regulator has decided to gradually move in that direction, rather than cut straight from the shoulder, he says: if the exchange points will expand its services, they can, and do not have to close. Read the rest of this entry »