The World Bank approved a $150 million loan to Ukraine for support of the low-income population amid the COVID-19 pandemic. On May 1, the bank approved additional financing for Ukraine in the amount of $150 million under the project for modernization of the system of social support for the population of Ukraine with the aim of expanding and improving social assistance to low-income families, Ukrainian language media reported.
The World Bank stated: “Thousands of Ukrainian families are already facing difficulty paying for housing and utility services because people are losing their incomes. Pensioners can’t afford to buy even basic medicines and food due to rising prices. It is important to help those people by making social payments swifter and more targeted. The additional financing will also support start-up grants for small businesses, known in Ukraine as the “Hand of Help,” which will support the poor in learning new skills, finding a job, or opening a business,” Alex Kremer, the World Bank acting country director for Belarus, Moldova, and Ukraine, said.
Business Activity Outlook Index has almost halved in April, National Bank of Ukraine findings show. The Business Activity Outlook Index (BAOI) calculated by the National Bank of Ukraine fell by 15.9 percentage points in April (from 45.8 to 29.9 points, which is lower than the neutral BAOI reading of about 50 and which signals a severe prevalence of pessimistic expectations for business.)
The NBU said in a statement: “Pessimistic expectations have intensified in almost all sectors of the economy. This is not only about the services sector, which is most affected by lockdown measures, but also industry, construction, and trade,” the NBU said on Monday.
The Ukrainian parliament adopted in its first reading an ‘anti-crisis’ bill on extending support for business amid effects of the COVID-19 pandemic. The Verkhovna Rada has adopted bill No. 3329-d, which proposes to extend a number of benefits and tax cuts for business, and shortened the time for preparing it for second reading. This decision was supported by 336 MPs with the quorum being 226, Interfax reported. The new bill mostly provides for the extension of fine terms for violation of tax legislation breaches from March 1 to the last calendar day of the month in which quarantine ends (likely the end of May).
Ryanair may reduce staff by 3,000 people and close some of its bases throughout Europe due to the COVID-19 crisis, the carrier has said, in a statement that pose a threat to Ukrainian travellers. Irish Ryanair Holdings Plc, Europe’s largest air low-cost carrier, may reduce its staff by thousands because of coronavirus.
The airline said in its statement: “Ryanair Airlines will shortly notify their trade unions about its restructuring and job loss program, which will commence from July 2020. These plans will be subject to consultation but will affect all Ryanair Airlines, and may result in the loss of up to 3,000 mainly pilot and cabin crew jobs, unpaid leave, and pay cuts of up to 20 percent, and the closure of a number of aircraft bases across Europe until traffic recovers.”
Judicial reform may continue if it does not contradict the Constitution of Ukraine, the Council of Europe has stated, according to a reported legal assessment of decisions adopted by the Constitutional Court of Ukraine. This is considering the so-called leading European standards in this area, the communications and legal monitoring department of the Constitutional Court of Ukraine has reported.
