EBA met with the Executive Vice President of the European Commission and the Ambassador of the EU to Ukraine

13/ 03/ 2024

Last week the European Business Association hosted a dinner with Mr Valdis Dombrovskis, Executive Vice President of the European Commission for An Economy that Works for People, Katarina Mathernova Ambassador of the European Union to Ukraine. Also, Michael Hager, ⁠Head of Cabinet, ⁠ Maija Celmina, Member of Cabinet, Alberto Fernandez-Diez, Head of Trade and Economic Section at the Delegation of the EU to Ukraine, and other business leaders in Ukraine joined the meeting. The business community held hot and important topics for business. Hence, the business raised the importance of the normal functioning of law enforcement institutions – without pressure on transparent business. Therefore, when discussions about the Bureau of Economic Security started, companies supported the idea of having one single independent authority to investigate economic crimes. Currently, the business in Ukraine support the Parliamentary draft law on that - №10439-2 (not the one from the Cabinet of Ministers of Ukraine – as if has a great question of independence). Separately, businesses mentioned the importance of having more professionalism from the authorities – responsible for taxation, law enforcement, etc. And, generally, confirmed that in terms of fiscal pressure the matter is not in high taxes (as they are quite competitive) but in people responsible for controlling and regulations. Another question raised was the situation at the Polish-Ukrainian borders. The businesses stated that strikes have already led to negative consequences for both parties, as well as for the EU and globally – disruption of important supply chains, disruption of product delivery times, violation of contractual obligations with partners, damage to products with limited shelf life and, as a result, direct financial and reputational losses, etc. As the business reports, the situation is much worse than it was at the end of last year. Therefore, we asked Mr Dombrovskis from the European Commission to intervene and to bring justice to the situation. Financing has become also an important topic discussed. Hence, from one side investment insurance is needed for business. On the other side, the rebuilding process and sources of financing are vital. As currently businesses don’t understand where the money will come from and how it’s possible to apply for financing if a company wants to be involved in the rebuilding process. Mr Valdis Dombrovskis responded that the European Commission is already engaging with businesses in Ukraine to ensure that the reconstruction of Ukraine is a success and retains and attracts foreign investments. Moreover, Mr Dombrovskis also mentioned that if a company wants to enter the EU market there are such support programs as InvestEU, which are worth considering. Programs like “Made in Ukraine” and cashback were also discussed. Some of the businesses mentioned a bit of scepticism in this regard as nowadays Ukraine needs each and every business and it’s hard to imagine how preferences could help the economy to develop. In the end, the Association also asked the European Commission to continue to support Ukraine – in terms of financing, weapons, etc. As the future of Europe also depends on how well Ukraine will hold on. Mr Dombrovskis confirmed EU commitments to Ukraine and readiness to give further support. Moreover, he also shared that the EU adopted a defence industry strategy. From the EBA business, we thank Valdis Dombrovskis, Katarina Mathernova, Alberto Fernandez-Diez and other colleagues from the EU for the opportunity to meet and raise important issues for business. We sincerely hope to have further support and cooperation!

The business community held hot and important topics for business. Hence, the business raised the importance of the normal functioning of law enforcement institutions – without pressure on transparent business. Therefore, when discussions about the Bureau of Economic Security started, companies supported the idea of having one single independent authority to investigate economic crimes. Currently, the business in Ukraine support the Parliamentary draft law on that – №10439-2 (not the one from the Cabinet of Ministers of Ukraine – as if has a great question of independence). Separately, businesses mentioned the importance of having more professionalism from the authorities – responsible for taxation, law enforcement, etc. And, generally, confirmed that in terms of fiscal pressure the matter is not in high taxes (as they are quite competitive) but in people responsible for controlling and regulations.

Another question raised was the situation at the Polish-Ukrainian borders. The businesses stated that strikes have already led to negative consequences for both parties, as well as for the EU and globally – disruption of important supply chains, disruption of product delivery times, violation of contractual obligations with partners, damage to products with limited shelf life and, as a result, direct financial and reputational losses, etc. As the business reports, the situation is much worse than it was at the end of last year. Therefore, we asked Mr Dombrovskis from the European Commission to intervene and to bring justice to the situation.

Financing has become also an important topic discussed. Hence, from one side investment insurance is needed for business. On the other side, the rebuilding process and sources of financing are vital. As currently businesses don’t understand where the money will come from and how it’s possible to apply for financing if a company wants to be involved in the rebuilding process. Mr Valdis Dombrovskis responded that the European Commission is already engaging with businesses in Ukraine to ensure that the reconstruction of Ukraine is a success and retains and attracts foreign investments. Moreover, Mr Dombrovskis also mentioned that if a company wants to enter the EU market there are such support programs as InvestEU, which are worth considering.

Programs like “Made in Ukraine” and cashback were also discussed. Some of the businesses mentioned a bit of scepticism in this regard as nowadays Ukraine needs each and every business and it’s hard to imagine how preferences could help the economy to develop.

In the end, the Association also asked the European Commission to continue to support Ukraine – in terms of financing, weapons, etc. As the future of Europe also depends on how well Ukraine will hold on. Mr Dombrovskis confirmed EU commitments to Ukraine and readiness to give further support. Moreover, he also shared that the EU adopted a defence industry strategy.

From the EBA business, we thank Valdis Dombrovskis, Katarina Mathernova, Alberto Fernandez-Diez and other colleagues from the EU for the opportunity to meet and raise important issues for business. We sincerely hope to have further support and cooperation!