Ukrainian Economy Digest
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Recovery
International Register of Damages launching in The Hague: PM Shmyhal expects 8M requests from Ukrainians
On April 2, 2024, the International Register of Damages is starting its work in The Hague. Generally, up to 8 million applications are expected to come from the Ukrainians affected by Russian armed aggression.
The relevant statement was made by Ukrainian Prime Minister Denys Shmyhal at a meeting of the Cabinet of Ministers of Ukraine, an Ukrinform correspondent reports.
“Two years ago, Ukraine’s Defense Forces liberated the Kyiv region from Russian occupiers. […] Russian barbarians left behind destroyed cities and villages. Hundreds of civilians killed and tortured to death. Ukrainian homes looted. For each crime, there will be inevitable responsibility. Everyone will be brought to justice, from the executors to those who gave criminal orders in the Kremlin,” Shmyhal said.
In his words, the aggressor state will be charged money for Ukraine’s reconstruction efforts, mainly at the expense of frozen Russian assets.
“It is symbolic that, today, the International Register of Damages is starting its work in The Hague, where all Ukrainians affected by Russian armed aggression can file a claim,” Shmyhal noted.
According to the Prime Minister, first of all, the registration of damaged or destroyed housing will be launched. The procedure will be as digitalized and convenient as possible. Applications will be submitted through the Diia app.
“We predict that the Register will receive from 300,000 to 600,000 applications from victims in the housing segment alone. In total, up to 8 million applications are expected from all those affected by the war,” Shmyhal explained.
The Prime Minister emphasized that Ukraine is consistently and purposefully implementing the principle of ‘Russia will pay’ and creating a precedent for the aggressor’s financial responsibility for the losses it causes.
A reminder that, on the evening of April 2, 2022, the Ukrainian Defense Ministry announced the liberation of all territories in the Kyiv region from Russian invaders. Following the region’s de-occupation, global leaders delivered their first statements on the genocidal nature of Russian war crimes in Ukraine.
Law and order
A multimillion-dollar scheme of extortion from exporters of the "grain corridor" was exposed
The State Bureau of Investigations has uncovered officials from the departments of the State Consumer Protection Service in the Odessa and Zaporizhzhia regions who organized a multimillion-dollar scheme of extorting money from exporters of agricultural products. This was reported by the DBR, as reported by Ukrinform.
The individuals demanded bribes for issuing phytosanitary certificates necessary for the export and import of agricultural products, as well as for the preparation of inspection reports required for the export of barley and corn.
In fact, the officials created an organized criminal group with clear division of roles and responsibilities. It consisted of more than 11 people, including the head of the Main Department of the State Consumer Protection Service in the Zaporizhzhia region and the chief of the Phytosanitary Safety Department of the Main Department of the State Consumer Protection Service in the Odessa region.
The group also included two chief inspectors of the State Consumer Protection Service in the Odessa region and two from the Zaporizhzhia region, civilian individuals, including heads of brokerage companies acting as intermediaries.
According to preliminary estimates, the fraudsters received over $160,000 monthly from their illegal activities.
In various regions of Ukraine, 60 searches were conducted during which over $100,000 and 500,000 hryvnias from illegal activities were seized, along with eight luxury cars, notebooks detailing the distribution of sums among scheme participants, draft records, and computer equipment used to produce seized documents; other items and evidence for pre-trial investigation.
The DBR uncovered officials of the State Consumer Protection Service who organized a multimillion-dollar scheme of extortion from exporters of the "grain corridor."
Five participants of the criminal group were detained. They were informed of suspicions of receiving unlawful demands on an especially large scale (Part 3 of Article 368 of the Criminal Code of Ukraine).
It is planned to decide on announcing suspicions to officials involved in the scheme.
As Ukrinform reported, law enforcement officers uncovered a scheme of extortion from agro-exporters - bribes were demanded for veterinary certificates - in Mykolaiv.
Energy
Ukraine’s state-owned mines boost coal production
Despite the war risks, shelling, power outages and personnel shortages, the production output of coal at Ukrainian state-owned mines has been exceeding the pre-war levels for several months.
The relevant statement was made by the Ukrainian Energy Ministry, an Ukrinform correspondent reports.
“In March 2022, state-owned mining enterprises produced 173 thousand tonnes of coal, and this figure had been declining for a long time. Meanwhile, the production output of coal came to 178 thousand tonnes in January 2024, 197 thousand tonnes in February 2024, and 221 thousand tonnes in March 2024 (which is 24% higher compared to January 2024),” the report states.
The daily production rate of coal also increased, from an average of 4.1 thousand tonnes in September 2023 to 7.1 thousand tonnes in March 2024.
“The high-quality performance of the state-owned coal industry is the result of the continuous joint efforts of the Energy Ministry and coal mining companies. And we have further development plans that will allow us not only to stabilize the situation in the industry, but also to promote its further development, namely by increasing coal production volumes, which is important in view of preparations for the next heating season,” Ukrainian Energy Deputy Minister Oleksandr Kheilo noted.
With the increased production output of coal at state-owned mines, coal stocks in the warehouses of energy companies are also rising. In late March 2024, thermal power plants and combined heat and power plants accumulated about 1.208 million tonnes of coal in warehouses, which is 508 thousand tonnes higher compared to the target plan.
A reminder that thermal generating facilities are expected to accumulate 1.8 million tonnes of coal before the next heating season.
