1 / 8

Ukraine: Eastern Europe’s Greatest Market

Ukraine: Eastern Europe’s Greatest Market. Brussels, 27 June, 2007. Ukraine: introduction. The second largest country in Europe Strategic position at the crossroads between Europe and Asia The largest Eastern European consumer market with 47 million people

boris-curry
Download Presentation

Ukraine: Eastern Europe’s Greatest Market

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Ukraine: Eastern Europe’s Greatest Market Brussels, 27 June, 2007

  2. Ukraine: introduction • The second largest country in Europe • Strategic position at the crossroads between Europe and Asia • The largest Eastern European consumer market with 47 million people • 69% of the territory of Ukraine is adapted for the agricultural use • Rich in natural resources (coal, iron ore, gas, stone, salt etc.) • 32 active airports, flights to 45 countries • 20 seaports and 10 river ports • 4 out of 10 European transport corridors run through Ukraine Industry/GDP: 27% Agriculture/GDP: 10% Investment/GDP: 19% Exports to: Russia 18%, EU 29% Imports from: Russia 40%, EU 32% (data from Dec 2006, source: Institute for Economic Research and Policy Consulting)

  3. Ukraine: Investment advantages • Rapid Growth Rate • 7% in 2006; 6,5% forecasted for 2007 • potential for high investment returns • Sizable Domestic Market • rapid growth in purchasing power and consumer spending • Retail trade turnover has increased by 20% over the past five years • Real income accounting for price factors has increased by 24% for 2006 • Strategic market access • geographical location and bilateral/multilateral agreements make Ukraine an ideal manufacturing base for Middle East and Russian markets • soon open access for the Ukrainian-based exports to the 150 members of WTO • Low Labor Costs and Highly Qualified Human Capital • one of the lowest salary levels in CEE for hard working and loyallabor force - less than 70 USD (in agriculture), 150-160 USD (in construction) and 170 USD (in transport) • In 2005, Ukraine was ranked 5th in number of certified IT specialist by Brainbench • Rich in Resources • 6th in the world production capacities of metal and mining • 40% of the global production of manganese ore is located in Ukraine • 1/3 of the world’s “black soil” is found in Ukraine

  4. Ukraine: FDI dynamics Cumulative FDI inflowsin USD billion, as of Jan 2007 FDI distributed by the main sectors of Ukrainian economy, as of Jan 2007 Source: Ministry of Economy, Ukraine

  5. Alternative and renewable energy: a promising sector for investment • The sector includes: alternative (rape, biodiesel) and renewable (wind, sun, water) sources ofenergy - Sector capacity: 100 mln tons of the conditional fuel • Biomass potential: 22 mln tons • Territory: 42 mln hectares of arable land for rape production • Hydropower potential of the Transcarpathian region: 2-3 GWt • Investments needed for sector in 2003-2010: $ 2,57 bln. Special Governmental support program exists Law on bio-fuel development adopted in June 2007 Kyoto Protocol: 150 mln tons of pollutants saved annually • Competitive advantages: - availability of land - low-cost labor

  6. Information Technology:a promising sector for investment • Total market size - about $ 2,2 billion • Growth rate in 2006: 28% in comparison: Russia – 18 %, Poland – 15 %, Kazakhstan – 33 %. • 4,000 companies and appx. 47,000 workers involved • Competitive advantages include: • Qualified and relatively low cost skilled labor • Highly-ranked technical schools • Medium-high innovation level: Technological Activity Index – 0.600 (ranked 39 among 117 countries) • Ukraine rated 5th in 2005 in terms of the number of certified IT specialists by Brainbench

  7. Other sectors with investment potential • Logistics • Construction • Financial Services • Social Investments • Agriculture

  8. Ukraine: There’s never been a better time than now…

More Related