Investor Presentaiton
Extensive governmental response to facilitate Covid-19 impact
As a response to
economic shock caused
by the Covid-19 outbreak,
Ukraine introduced a
comprehensive
stimulus package with
policy measures
implemented across
three main categories:
businesses, individuals
monetary response
Businesses
Extension of a number of
eligible businesses for 5-7-9%
Affordable Loans Program and
enhancement of program terms
Exemption from import duties
and VAT of goods used to
combat Covid-19 (medicines,
medical devices, equipment, etc.)
Cancellation of payment of
social security contribution for
selected categories of payers and
abolishment of penalties for late
or incomplete payment or filing
Cancelation of penalties for
violation of tax legislation for
March-May 2020
Local governments are allowed to
decide on the single tax rate
reduction in 2020
Moratorium on tax audits and
inspections for March-May 2020
2
Individuals
300% increase in salaries for
medical personnel working with
Covid-19 patients
One-off pension increase to
low-income pensioners and
monthly pension top-up for
retirees aged 80+ years
Deadline for filing income and
wealth tax declarations
extended until July 1
Moratorium on penalties and
disconnection of consumers
who are late on utility payments
Increase of tax brackets for
single tax payers
Cancellation of penalties for
individuals due to consumer
loans overdue for March-April
2020
Launch of UAH 65bn coronavirus response fund within state budget to
finance immediate areas to counter the spread of Covid-19
Exemption of non-residential real estate from real estate tax in March 2020
Land rent is not accrued and paid for March 2020
3
Monetary (NBU)
Introduced recommendations to banks to
deal with borrowers facing financial
difficulties as a result of Covid-19
Encouraged banks to refrain from the
distribution of dividends
Modified calculation of reserve
requirements as part of banks' liquidity
support
Delayed introduction of capital buffers
for banks
Delayed banks' onsite inspections and
stress testing
Introduction of long-term refinancing
instrument for banks (up to 5 years)
Doubled frequency of liquidity tenders
Extended deadline for the development
and approval of banks' strategies of non-
performing assets management
Extended deadline for banks to submit
their risk tolerance declarations
Banks are eligible to apply only one
stress test for business recovery plans (the
most severe one) rather than 2 tests before
Extended deadlines for banks to submit
financial accounts for FY 2019 and Q1 2020
July 2020
Sources NBU, CMU, Ukrainelnvest
BA
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