01 November 2011

Any good news in Ukraine?

Today we hear that the Investment Bank - BG Capital has closed its office in Ukraine.
The reasons are:

Because of the negative outlook, as investors are averse to risks in the country and companies delay plans for initial public offerings abroad.

BG Capital, the investment arm of Bank of Georgia, became the first major player to leave Ukraine after a number of smaller investment banks already closed earlier this year.
Insiders say some of the remaining big investment banks are downsizing their staff and freezing or cutting salaries amid tough conditions.

Risk-averse investors are pulling their money out of the local market and turmoil on global capital markets is pushing Ukrainian companies to delay plans of IPOs on the stock exchanges in London and Warsaw.

So, Ukraine is looking like a sad case again. If anyone out there has any good news about doing business in Ukraine please feel free to share it.

No comments: