BY
A case of caveat emptor (let the buyer beware) for these external
investors (or external gamblers, given the continued failure to grasp the rule
of law firmly in Ukraine)?
Probably not – at least not in this case.
The National Bank of Ukraine is putting its weight behind the sale of
shares in these State owned banks to two investors able to withstand internal
shenanigans and even influence Ukraine itself. The external investors
supported by the National Bank are the European Bank for Reconstruction &
Development (EBRD) and the International Finance Corporation (IFC).
Not only would such share purchases provide additional confidence in
these banks, but undoubtedly there would be a marked improvement in the quality
or corporate governance within them. Moreover, with Oschadbank being a
high street name daily interacting with the domestic constituency, whilst
Ukreximbank being an entity that concentrates upon facilitating foreign trade.
Ukrainian SME’s may beat a path the Oschadbank’s door, for the EBRD will
be keen to lend sensibly to the entrepreneurial/SME class and reap the rewards
(as banks do) of invigorating the economy on the bank’s terms. Lines of
credit/letters of credit may actually be forthcoming from Ukreximbank for those
operating/trying to operate across national borders.
It seems simply far too sensible to actually happen.
If a morally upstanding, integrity ridden candidate emerges from the
current (until 8th April) recruiting window, and is subsequently appointed to
head the State Service of Intellectual Property another – although not headline
grabbing – investor friendly step will have been taken. It is no secret
that intellectual property rights has been more than an irksome subject for
several years within the US Embassy’s Economics Department, for it is an issue
(of several naturally) that has prevented US investment despite the efforts of
the US Embassy in Kyiv.
The aforementioned seems rather encouraging – until consideration is
given to any degree of involvement from the feckless political class which
remains intent upon trying to snatch failure from the jaws of victory.
No comments:
Post a Comment