Page 77 - UKRRptDec23

What does the state offer investors before privatization in December? On December 19, an auction will be held to privatize the single property complex, Ivano-Frankivsk Bread Product Factory. The initial price is ₴52.7M. The company has 58 real estate and infrastructure facilities with an area of 46,700 square meters. The lot also includes two plots of land, 14 vehicles, and units of special equipment. On December 21, the state plans to sell Kirovohrad Grain Production Plant No. 2 for ₴18.67M. Also, on December 14, the Nigin quarry was put up for re-auction with an initial bid of ₴26.34M. The company has ₴89.7M in debt. The lot includes 53 buildings, 34 vehicles, units of special equipment, and three plots of land. The enterprise is operating and employs 71 people. On December 7, an auction will take place for the sale of a large warehouse complex in the village of Avangard near Odesa. The TVK complex is owned by the Defense Ministry and is being sold at a 50% discounted price of ₴104.11M. The company has debts totaling ₴12.17M. The complex is an operating business with more than ₴30M in annual output.
6.2 Debt
Ukraine’s state debt increased in October to a record $136.4bn. Ukraine's total (direct and guaranteed) debt compared to the previous month increased by 2.03% to a record $136.35bn. Direct foreign debt rose to $85.88bn, and domestic rose to $41.67bn. The state-guaranteed debt at the end of the month amounted to $8.8bn. Last year, the total state debt increased by 13.66% to $111.34bn.
Ukraine’s state debt risks exceeding ₴5 trillion and will amount to 90% of GDP. As of October 31, Ukraine's state and state-guaranteed debt amounted to ₴4.96T. According to November’s results, the national debt will probably exceed the ₴5T mark, having increased by ₴2.3T (+46.1% or $43B in foreign currency) since the beginning of the war. This will amount to approximately 90% of GDP, said the chairman of the parliamentary finance committee, Danylo Hetmantsev. He specified that in October, the domestic debt increased by 2.1%, or ₴32.2B, while the external debt grew by 1.2%, or ₴39.6B. The increase in the national debt was due to the involvement of another tranche of macro-financial assistance from the EU and high-interest rates on military bonds. The Ukraine budget deficit is mainly covered by OVDP funds and assistance from partners. Previously, the IMF believed that Ukraine’s total public debt would increase to 88.1% of GDP this year, next year - to 98.6% of GDP, and 100.7% of GDP in 2025.
77 UKRAINE Country Report December 2023 www.intellinews.com