A resumption of lending in Russia by the European Bank for Reconstruction and Development (EBRD) remains a distant perspective, even after the restart of the Ukraine peace settlement. Nevertheless, the EBRD is facing a competition from Moscow in the CIS.
Despite lofty rhetoric, the Ukrainian authorities have failed to secure any significant progress in the privatization of the country’s largest state-owned companies during the past five years. The new government promises a fundamental shift in this area.
The Ukrainian e-commerce sector swiftly recovered from the 2014-2015 financial and economic crises, and has reported up to 30 per cent of annual growth over the past three years. This is one of the highest levels in Eastern Europe.
The Ukrainian government should seek a new support program with the International Monetary Fund (IMF) of up to USD10bn, with a duration of up to four years, the National Bank of Ukraine (NBU) believes.
Recently international financial institution have not lend a lot of funds to Belarus. Chine sees it as a possibility and part of the One Belt One Road strategy.
The banking sector of Belarus, already shaken by the US sanctions that affect the local subsidiaries of Russian leading state-owned lenders, will face further problems if the US administration adopts new restrictions against Russia's richest businessmen.
"It will take no less than three to four years for us to be able to talk about attracting investors to PrivatBank," said Kateryna Rozhkova, the Ukrainian central bank's deputy governor in an exclusive interview for the CE Financial Observer.
Ukrainian banking landscape has changed dramatically over the past two and a half years. CE Financial Observer talks with Kateryna Rozhkova, the central bank's deputy governor.
Privatbank, Ukrainian largest lender by assets, is facing "systematic problems", and the country's central bank has placed it in "a very tough framework".
The current improvement in relations between Belarus and the European Union provides the country with an opportunity to secure more funding for infrastructure and other projects from European multinational lenders.