Page 65 - UKRRptFeb24

With Ukraine facing significant budgetary challenges, including a deficit exceeding UAH 1.5 trillion and substantial allocations for security and defence, privatisation becomes a important source of funding for the government.
In one week, Ukraine made more than ₴346M from privatisation in January. Where do businesses propose to invest in the near future? On January 15-19, the State Property Fund of Ukraine (SPFU) attracted ₴346.66M to the state budget in privatisation auctions. The state held 12 successful auctions with 100 investors participating. The Lviv State Institute for the Design of Oil Refining and Petrochemical Enterprises single property complex was the most expensive object sold, for ₴200M. The fund plans to hold 21 online auctions this week. Among the largest lots is the TVK single property complex (7th Kilometre market) in Odesa with a starting price of ₴104.1M. The auction is scheduled for January 26. The sale of the Hannopil Distillery complex will occur on January 25, with a starting price of ₴3.8M. In addition, on February 12, an auction is scheduled for the sale of property previously belonging to the Lubinsky Agro-Trading Enterprise in the Poltava Region, with a starting price of ₴7.57M (with ₴930,000 in debt).
The State Property Fund sells the former Lubensky Winery and a stone extraction quarry in January. The single property complex belonging to the state enterprise Lubensk Agro-Trading Enterprise was put up for a February 12 online auction with a starting price of ₴7.57M and debt of ₴0.93M. The plant has not operated since 2015 and has 17 registered real estate objects. There is a 1.7-hectare plot of land under the buildings. The enterprise’s main economic activity is leasing and real estate. On January 29, the SPFU invites investors to participate in the privatisation auction for the property of the state-owned enterprise Niginsky Quarry in the Khmelnytskyi region with a starting price of ₴26.3M. The asset includes 53 buildings, 34 units of vehicles, and equipment. The primary types of extraction activities are for decorative and building stone, limestone, gypsum, chalk, and clay slate.
6.2 Debt
Ukraine's state debt increases by 30.4% in 2023 The total public debt of Ukraine in 2023 increased to a new historical maximum: in dollar terms - by $33.9bn , or 30.4% - to $145.32bn , in hryvnia terms - by UAH 1.444 trillion, or 35.4%, up to UAH 5.520 trillion, according to data on the website of the Ministry of Finance.
As of December 31, 2023, the state’s and state-guaranteed debt amounted to ₴5.519T, or $145.32B, reported the Ministry of Finance. The ratio of national debt to GDP was 85%. State and state-guaranteed foreign debt amounted to ₴3.863T or $101.7B. At the end of the year, state debt increased in hryvnia by ₴396.81B and in dollar terms by $4.49B. As specified by the Chairman of the Finance Committee, Danylo Hetmantsev, the national debt has doubled since the beginning of the war. For 2023, the indicator in hryvnia increased by 35.4%
65 UKRAINE Country Report February 2024 www.intellinews.com