Ukraine breaks annual agricultural export record by the end of November 2019. Once known as the breadbasket of Europe, Ukraine is fast emerging as a global granary. The famously fertile country established a new annual record for agricultural exports with one month to spare in 2019, with the total reaching USD 20.2 billion by the end of November, according to figures released by the Institute of Agrarian Economy. This represents a 7% year-on-year increase compared to the then-record figure of USD 18.8 billion achieved in 2018. Ukraine has significantly expanded its agricultural export horizons in recent years, with key growth markets including India and China. Meanwhile, the free trade component of Ukraine’s Association Agreement with the EU has helped boost the Ukrainian presence in European markets, with Ukraine recognized in mid-2019 as the number three foodstuffs supplier to the EU.

CURRENCY
Ukrainian hryvnia recognized as world’s strongest currency against the US dollar in 2019. As 2019 drew to a close, Bloomberg named the Ukrainian hryvnia as the world’s best-performing currency against the US dollar this year, with annual gains of around 19% positioning the hryvnia comfortably ahead of other leading currencies. Factors driving the hryvnia’s world-beating performance include strong growth in agricultural exports, high levels of foreign currency remittances from Ukrainians working abroad, and unprecedented international demand for hryvnia-denominated Ukrainian government bonds. Virtually nobody anticipated the Ukrainian currency’s rise, with most forecasts in early 2019 predicting a gradual decline over the course of the year of around 5-7%.

RETAIL
Ukrainian e-commerce sales volumes climb 17% in first eleven months of 2019. Ukrainians spent a little over USD 3 billion on e-commerce purchases during the January-November 2019 period, according to figures released in mid-December by the EVO group of companies. This UAH 76 billion total represented a 17% year-on-year increase, reflecting the growing popularity of e-commerce options among Ukrainian consumers. According EVO research, this rise in e-sales was accompanied by rising revenues in associated areas including delivery, advertising, and online payment services. Prices for e-commerce delivery remain relatively high by international standards, with an average delivery premium of between 5% and 15% of the purchase price.

AVIATION
Ukrainian airports establish new annual passenger record with one month to spare. The number of passengers flying via Ukrainian airports climbed 19% year-on-year during the first eleven months of 2019 to reach a new record high of 22.6 million as the country’s four-year air travel boom showed no signs of losing steam. The country’s busiest airport was Boryspil, which accounted for more than 60% of all flights and 14.2 million passengers. In second place was Kyiv Sikorsky (2.4 million passengers), followed by Lviv (2.05 million passengers). Kharkiv International Airport reported the strongest growth in passenger numbers, with the eastern Ukrainian airport witnessing a 39% rise in number of travelers in January-November 2019.  

Ukrainian budget airline unveils plans for series of new international flights from Kharkiv. Ukrainian low-cost carrier SkyUp has begun ticket sales for a series of new international routes that are scheduled to launch from Kharkiv International Airport in spring and earlier summer 2020. On 29 March, the airline will start services connecting Kharkiv with Tel Aviv in Israel and Georgian capital Tbilisi. This will be followed by additional summertime launches of seasonal services to Burgas in Bulgaria and Georgian holiday resort town Batumi. SkyUp is Ukraine’s first budget airline. The company’s inaugural flight was in May 2018. It has since rapidly expanded its portfolio of domestic and international services.

HOSPITALITY
Swiss hotel management group presents plans for innovative concept hotel in Zhytomyr. Swiss-based international hotel management group DBI Resorts & Hotels has begun work with local partner Favoryt on an innovative hybrid hotel in Zhytomyr, a regional Ukrainian capital located 130km west of Kyiv. The MOI Zhytomyr hotel concept features a selection of different accommodation options ranging from budget rooms to full-service apartments suitable for long-term residents. The hotel will have an overall capacity of around 350 guests. The venue will also contain a large co-working space, conference and meeting facilities, along with childcare and dining. DBI officials say the goal is to create a self-contained community that will appeal equally to visitors and Zhytomyr residents.   

BANKING
Ukrainian banks triple profits in 2019 as post-2014 industry clean-up produces results. Ukrainian banks reported net profits of UAH 59 billion during the first eleven months of 2019, according to new figures released in December by the National Bank of Ukraine (NBU). This figure represents a threefold year-on-year increase in profits for the sector. Ukraine’s banking industry has undergone fundamental reform over the past six years, with a large number of insolvent or otherwise unsound banks shut down amid the introduction of stringent new regulatory oversights. Ukrainian banks returned to profit in 2018 for the first time since the Revolution of Dignity and the start of the industry clean up in 2014.  

TRANSPORT
Ukrainian unveils plans for international border checkpoint at Lviv railway station. Passengers heading for EU destinations from Lviv’s Central Railway Station will soon be able to undergo border checks prior to departure following a decision to establish a border checkpoint at the station. The new service is part of efforts to improve efficiency as Lviv continues to introduce new rail services connecting the western Ukrainian city to the EU. Mid-December saw the launch of a new Lviv-Berlin service, while there are also a series of trains running to destinations in Poland. The number of Ukrainians travelling via rail to EU destinations has risen sharply since the advent of visa-free travel for Ukrainian passport holders in June 2017.