The Head of the Office of the National Investment Council took part in the Virtual EBRD Investment Councils Conference 2020

On June 3, 2020, the Head of the Office of the National Investment Council Olga Magaletska took part in the Virtual EBRD Investment Councils Conference 2020, which was held on June 2-3.

The conference was attended by: Jurgen Rigterink, the First Vice President of the EBRD, Milica Delevic, the Director for Governance and Political Affairs at the EBRD, Maya Tskitishvili, the Vice Prime Minister and the Minister of Regional Development and Infrastructure of Georgia, Anila Denaj, the Minister of Economy and Finance Republic of Albania, as well as representatives of business associations and Investment Councils from the EU and Eastern European countries.

The participants of the conference discussed the state of the economy and business after the COVID-19 pandemic, the government policies to revitalise the economy in response to pandemic, prospects for further development of the private sector and enterprises, Investment Councils priorities and potential technical support from the EBRD to the most affected sectors.

Milica Delevic presented to the conference participants the EBRD’s Covid-19 policy responses, including the Rapid Advisory Response Framework.

Olga Magaletska thanked the European Bank for Reconstruction and Development for its support and fruitful cooperation, as well as for the invitation to take part in the conference.

The Head of the Office noted that the Government and the Parliament of Ukraine quickly reacted to the spread of coronavirus in the world and promptly introduced quarantine restrictions in Ukraine. She emphasized that the Office of the National Investment Council, for its part, did everything possible to support business in Ukraine during quarantine restrictions and pandemic.

 “At the beginning of the introduction of quarantine in March, the Office of the National Investment Council collected proposals from major business associations and representatives of businesses, including member companies of the National Investment Council. Collected proposals and recommendations were analyzed and submitted to the Parliament. They formed the basis for future bills, which were quickly voted by the Parliament. This prompt reaction from business associations, the Government and the Parliament is definitely a positive step, which allowed the businesses to work online and reorient their processes,” said Olga Magaletska.

The Head of the Office also said that in addition to the laws supporting businesses and entrepreneurs, the Parliament of Ukraine also adopted a number of laws to support the healthcare industry and workers involved in counteracting the spread of COVID-19 in Ukraine. In particular, the Special Fund for the fight against coronavirus was created, while the Pension Fund and the Unemployment Fund were strengthened.

Olga Magaletska emphasized that the transfer of many operational processes online gave a big impetus to the development of the IT industry and the digitalization of many processes: “A year ago, a new Ministry of Digital Transformation was created in Ukraine. They initiate and implement many things that related to the digitalization of various processes and services. In particular, last year the Diia application, where you can get many useful services online, was launched. During the pandemic, such applications became very important and useful for people and the country.”

Regarding the attraction of foreign direct investments, Olga Magaletska noted that many companies are diversifying their supply chains and potentially consider Ukraine as one of the options for transferring their production facilities. According to her, some investors are thinking about the possibility to set up a new production facility here, closer to Europe and other markets, and to change their supply chains.

"In this situation, Office of the National Investment Council is analyzing potentially interesting sectors of Ukraine for the investment agency Ukraine Invest to make the proposals to companies in specific industries. We definitely see that it can be manufacturing of raw (food processing) or any kind of producing value added goods for Ukraine. I hope to see new foreign investors in Ukraine coming to diversify their supply chain. Ukraine has all the opportunities for this: a favorable geographical location, a favorable investment climate and a free trade zone with the EU," said the Head of the Office.

Olga Magaletska also added that the Office of the National Investment Council has already started dialogue with the EBRD in this direction, which helps to attract foreign investments to Ukraine.

The EBRD representatives, for their part, emphasized on the importance of the work of the Investment Council Offices in all countries and expressed hope for further fruitful cooperation.

© 2020 Office of the National Investment Council of Ukraine