Investor Presentaiton
Challenging reforms start bearing fruit (2/2)
Financial
sector
Energy
sector
Key areas
▸ Monetary policy: inflation-targeting framework
▸ Banking sector: sector clean-up, currency
controls liberalization
NBU role: enhancement of the NBU's
supervisory and regulatory role
▸ Energy sector diversification: intensified
domestic extraction and complete substitution of
Russia in favor of the EU for gas imports since
late 2015
Liberalization of energy markets: transition of
electricity market to European model, increase
in levels for gas and heating tariffs, elimination
of operational deficit of Naftogaz of Ukraine
"The Ukrainian authorities have successfully restored macro-economic
stability and growth, with support from the international community.
Prudent fiscal and monetary policies and a flexible exchange rate
regime have helped reduce fiscal and current account deficits. Reserves
have been partly rebuilt and confidence has improved."
Mr. David Lipton, First Deputy Managing Director of the IMF
December 18, 2018
Sources CMU, NBU, Prozorro, Naftogaz, Financial Times
September 2019
LTM update
• New liberalized currency
regulation system became effective
(February 2019)
Recommendations for State-
Owned Banks on Treating Non-
Performing Loans (January 2019)
• NBU Macroprudential Policy
Strategy to reinforce Ukraine's
financial system (December 2018)
Two oil and gas licensing rounds
conducted (March and May 2019)
• Start of debt enforcement process
by Naftogaz following its victory over
Gazprom in Stockholm Arbitration
(February 2019)
Bringing gas prices for
households closer to market level
(April 2019)
Selected results
103 banks withdrawn from
the market over 2014-2019
UAH 23.4bn
record high profits posted
by the Ukrainian banking
sector in January - May
2019
US$ 2.56bn financial
gain in Stockholm
Arbitration
2.3% CAGR in SOE
Ukrgazvydobuvannia's gas
extraction volumes (2015-
2018)
"The government in Kiev can justifiably claim to have made more
progress with structural reform in just four years than any
administration since the country gained its independence in 1991."
Financial Times, Special Report Investing in Ukraine
September 12, 2018
BA
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