Page 20 - UKRRptOct21

4.4 Corp profit
State-owned enterprises amassed losses of UAH50bn ($1.9bn) This announcement was made by Vasyl Khmelnytsky on LinkedIn. Citing the main problem of state enterprises in Ukraine is the lack of incentives for development. “Compared to private businesses, state enterprises are not afraid of bankruptcy or competition. Some of them work on the basis that the state can always cover its losses with taxpayers' money. I think that the situation can be altered by privatizing all state companies which are of no strategic importance. We can invite foreign companies with experience in managing large facilities to protect state enterprises from bankruptcy and save money from the state budget, but we will also gain valuable international experience and be able to revive the economy of Ukraine”.
September Business Outlook Survey (BOS) shows that businesses remain upbeat about their performance outlook. In the first month of the fall, businesses remained upbeat about their performance outlook on the back of robust consumer demand, a favorable external environment, and ongoing growth in investment activity. In September 2021, the index was 53.1, down from 53.4 in August. Trading companies expressed the most optimistic views about their performance outlook, as the sector’s index moved to 56.1 in September, up from 51.1 in August. Industrial companies have been upbeat about their economic performance outlook for five months running the sector’s DI being 52.8 in September, down from 54.3 in August. Construction companies were also upbeat about their economic performance outlook, the sector’s DI being 51.6 in September, down from 53.0 in August. Companies across all sectors reported intentions to raise their selling prices further amid strong expectations of higher raw material and supplies prices.
20 UKRAINE Country Report October 2021 www.intellinews.com