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27.03.2008
Bankers advise to keep money in hryvnias.
Erik Naiman, who heads the department for issuance of financial instruments at Ukrsotsbank, advises to keep money only in national currency.
"For the people, who do not deal with currency speculations, it is better to keep their savings in hryvnias," he said.
Naiman also said that nothing will affect the stability of the hryvnia in the next two or three years, or even five, and that interest rates on hryvnia deposits are higher than those in dollars and euros.
His outlook is supported by deputy chairman of the management board of Finance and Credit Bank Ihor Lvov, who recommends keeping money in hryvnias and in gold.
"There is a principle: don't keep in one basket. I would recommend keeping savings in national currency and in gold. The most stable currency that has risen three times over the past few years is gold," he said.
 26.03.2008
NJSC Naftohaz Ukrainy and its subsidiary Haz Ukrainy are planning to limit supplies of natural gas to municipal heating enterprise with debts.
This follows from the press service of Haz Ukrainy, a copy of which was made available to Ukrainian News.
"In order to bring natural gas consumption by communal heating enterprises to the level of confirmed resources, today working groups of Naftohaz Ukrainy and Haz Ukrainy have left for regions," the statement reads.
According to Haz Ukrainy, as of March 24, among the company's biggest debtors (for the gas consumed since October 1, 2007) were heat-supplying enterprises in Dnipropetrovsk region (debt of UAH 392.8 million, settlement level of 45%), Donetsk region (UAH 389.1 million, 54%), Kharkiv region (UAH 320.5 million, 50%), Luhansk region (UAH 171.3 million, 49%), Zaporizhia region (UAH 133.7 million, 62%), Lviv region (UAH 110 million, 54%) and other regions.
Since October 1, 2007, the enterprises have accumulated a total debt of UAH 2.358 billion, with the settlement level being 58%.
Apart from this, Haz Ukrainy says several communal heating enterprises are tending to accumulate even more debts.
25.03.2008
Parliament Speaker Arsenii Yatseniuk and World Bank Regional Vice President for Europe and Central Asia Shigeo Katzu have discussed the situation at global stock markets, and also exchanged opinions on financial economic state of Ukraine, particularly in view of avoiding corresponding risks for the country.
The Verkhovna Rada press service made this statement.
The WB Vice President expressed his opinion concerning the necessity to hold a special meeting for European and Central Asian countries in near future, taking into consideration the crisis processes in world economics.
Speaking about Ukraine, Katzu turned attention at the need to work out a long-term policy with the purpose of preventing inflation growth and current balance deficit, optimizing state budget expenses, and improving state investment policy.
24.03.2008
The Ministry of Fuel and Energy is initiating a check by regulatory agencies into the compliance of Ukraine’s largest oil mining company Ukrnafta with the antimonopoly law.
Ukrainian News learned this from the report of the ministry.
Besides it, the ministry wants Sintoza, Optima and Avias trading companies to be checked.
«The minister [of Fuel and Energy, Yurii Prodan] has asked the Antimonopoly Committee, the State Tax Inspectorate and the State Price Control Inspectorate to check operations of these companies,» the report reads.
As the minister put it, these companies have set unjustified fuel prices and abuse their monopoly position on the retail petroleum product market in a number of regions of Ukraine.
Prodan expressed concern about the synchronous suspension of sales at gasoline filling stations by these companies in March, which, the minister believes, gives reasons to suspect them of collusion.
The minister added that sale of petroleum products by Ukrnafta at prices much higher than the world wholesale prices was one of the factors that influenced the fuel price rise in Ukraine.
21.03.2008
The European Union has canceled its antidumping duties on carbamide imported from Ukraine.
The European Union announced this in a statement, a text of which Ukrainian News obtained.
The decision to cancel the duty was made on March 17 in accordance with the European Council of Ministers resolution No. 240/2008.
According to information from the Economics Ministry, this decision will come into effect on March 19.
The decision to cancel the antidumping duties was based on the result of a review that started in December 2006 and aimed at determining whether continuation of the relevant antidumping measures was appropriate.
20.03.2008
The Cabinet of Ministers has forbidden RosUkrEnergo to export natural gas of Central and Middle Asian origin, delivered to the Ukrainian gas transportation system from January 1, 2008.
This follows from the Cabinet's resolution No. 12 "On selling imported natural gas in Ukraine" dated March 12.
"From January 1 ... RosUkrEnergo's gas ... is used only to satisfy needs of Ukrainian consumers in accordance with the gas ... balance for 2008," reads the resolution.
With the resolution the Cabinet directed the State Customs Service from March to perform preliminary customs registration of gas delivered to the gas transportation system only by Naftohaz Ukrainy national joint-stock company at a price of USD 179.5 per 1,000 cubic metres.
19.03.2008
The Agricultural Policy Ministry expects meat imports into Ukraine to reduce by 7,000 tons or 3.4% to 200,000 tons in 2008, compared with 2007.
Vitalii Pakholiuk, the head of the division for development of the processing sectors at the Agricultural Policy Ministry's department of livestock markets, announced this at a conference that was held as part of the fifth international specialized exhibition "World of Ice Creams. Dairy and Meat Industry."
According to Pakholiuk, the Agricultural Policy Ministry expects 200,000 tons of meat to be imported into Ukraine in 2008, including 150,000 tons of beef and 50,000 tons of pork.
He announced that representatives of the Agricultural Policy Ministry recently met with representatives of meat processing enterprises and that major meat processing enterprises said at the meeting that their requirement for pork this year could exceed the expected quantity while their requirement for beef could be lower than the forecast quantity.
18.03.2008
It started last summer when borrowers with weak credit started defaulting on their mortgages. Last night, it brought down an 85-year-old pillar of Wall Street.
How did we get to this point? How did rising foreclosures among subprime borrowers lead to Bear Stearns being scooped up in a fire-sale for two bucks a share?
The answer starts with investment banks: They sold complex securities backed by debt that was a lot riskier than most realized. The realization that the banks had failed to manage this risk sparked widespread concern among investors and other financial firms. Suddenly, investors found they couldn't put a value on much of what the banks were selling. As a result, the lending markets that keep Wall Street humming seized up because people feared they wouldn't get paid back.
"We got to the point where the various parties in the financial system started not to trust each other," said Lawrence White, an economics professor at New York University.
17.03.2008
The Ministry of Economy has said that the 5.7% rate of inflation in January-February was caused by the growing prices of foodstuffs.
Ukrainian News learned this from the press service of the Ministry of Economy, which referred to Economy Minister Bohdan Danylyshyn.
"This inflation rate has largely formed under the pressure of rising prices of foodstuffs, which account for 52% of the consumer basket," the report reads.
The minister added that the price rise has been first of all caused by the growth in prices of agricultural products.
14.03.2008
Experts of the Energy Studies Center say that the agreements reached between national joint stock company Naftohaz Ukrainy and Russia's Gazprom natural gas monopoly about new terms for gas deliveries to Ukraine do not contain a complex solution to the Ukraine - Russia discord on gas issues.
Ukrainian News learned this from center head Kostiantyn Borodin.
"The agreement signed gives no answers to the question who is going to supply gas to Ukraine in 2008, RosUkrEnergo or Gazprom, and thus will serve as a subject for further bargaining between the companies," Borodin says.
He reminded that the second item of the agreement stipulates the creation for work in Ukraine's home market of a subsidiary of Gazprom which would be able to sell Central Asian gas to be purchased from Naftohaz Ukrainy directly to Ukrainian industrial users.
At the same time, the expert says, the agreement does not refute the possibility of independent purchase by Gazprom's Ukrainian affiliate of Russian gas from the Russian holding directly, and its supply to Ukrainian consumers bypassing Naftohaz Ukrainy and the quota of 7.5 billion cubic meters.
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