State Property Fund of Ukraine has investment proposals in each region

Management of the State Property Fund of Ukraineheld online conference with deputies of the Verkhovna Rada from Kharkiv Region aimed at establishing cooperation to attract investment.

As Kostiantyn Koshelenko, Deputy Chairman of the State Property Fund of Ukraine, noted, at present the Fund has investment menu for each oblast and each region.

“Despite quarantine, every day we actively prepare new facilities all over Ukraine to offer them at auctions. New facilities are added to the site privatization.gov.ua where you can track the dynamics of their movement until the auction.Thus, we provide a wide variety of communication channels to maximize the involvement of Ukrainians in the privatization process, because every Ukrainian is an investor”, Kostiantyn Koshelenko said.

Event participants discussed privatization process and rental relationship, as well as the particularity of separate objects in Kharkiv regionfor which a decision on privatization was made.

Particular attention was paid to the situation around the Kharkov giantSE Plant Elektrovazhmash. Deputy Chairman of the State Property Fund of Ukraine Serhii Ihnatovskyi spoke about the processes that take place at the enterprise.

Serhii Ihnatovskyi, among other things, informed that the plant has some problem with working capital deficit due to $ 18,000,000 debt to Sberbank. This debt was not serviced for a year and a half before the change of management in November 2019. No salary paid to employees, and since 2014, more than 2,000 employees have been laid off, most of which are highly qualified specialists.Over four years, business margin decreased from 20 to 2%.

New team started making changes in practice.

“After the change of the head of the enterprise, it was only with the purchase of the same product that savings of 60 million UAH were achieved. Salaries started to pay employees, and the company switched to a five-day work week. Now, as a result of effective management, highly qualified specialists are returning to the workshop”, Serhii Ihnatovskyi noted.

He also informed that new management has settled the issues of accounts payable and now the mechanisms of transfer of this loan to the Ukrainian bank are working out. Today, despite quarantine and a slowdown in economic processesSE Plant Elektrovazhmash is operating normally. The enterprise ships products in accordance with schedules agreed with partners, and at the same time seeks opportunities for “additional loading” of capacities with new contracts”, Serhii Ihnatovskyi, Deputy Chairman of the Fund, said.

Summarizing the conversation Taras Yeleyko noted: “For the success of our work, communication at the regional level is extremely important.This will give us the opportunity to take the right steps not only strategically, but also tactically, developing a joint state position.We need to attract investment, showing that privatization is for people.”

On the part of the Fund, the conference was attended by following deputies Chairman of the Fund: Kostiantyn Koshelenko supervises cooperation with region offices; Taras Yeleyko leads privatization, Serhii Ihnatovskyi responsible for the corporate governance and Leonid Antonenko deals with lease issues. In addition, the Head of the SPFU’s Regional office in Kharkiv, Donetsk and Luhansk oblasts Maksym Pampura and Deputy Chairman of the Parliamentary Faction “Sluha Naroda” Pavlo Sushko took part in the conference. Besides, Pavlo Sushko took upon himself the organization of participation in the conference of deputies from Kharkiv region.