Treating Ukrainians like Second Class citizens

It's a well known fact that Ukrainian people go through a hard time when they make an application for a visa to visit another country. More so when they want to visit an EU country. Worse still is when they want to visit the United Kingdom.  Much has been written over the years about the conduct of staff employed within Embassy/Visa offices around the world. It is fair to say that many of the people causing the problems are in fact Ukrainian people employed by these 'Visa Offices' in Kyiv. However EU nationals working in these places also must take a share of the blame for the bad reputations these places have developed.
Some of these Embassies/Visa Offices are actually informing Ukrainian citizens that they MUST report back to them when they return to Ukraine to prove they have returned.

The whole system is unfair and treats Ukrainians like second class citizens. Its as though the famous Iron Curtain was still in place. I have great empathy with all Ukrainians who have to go through the system.

A recent article in the Kyiv Post highlights yet again the problems. Quote:

Even those who can prove solid financial backing and who are married to EU citizens can run into problems. 

Kamaliya, the singer-actress married to multimillionaire investor and Kyiv Post publisher Mohammad Zahoor, recently got turned down for a 10-year long-term visa to the United Kingdom. Zahoor, a UK citizen, owns a house in London and his wife, born Nataliia Shmarenkova, has traveled to Great Britain 11 times on eight short-term visas for a total of 72 days since 2005.

Yet she got a two-page rejection letter on Jan. 16 from a UK consular officer in Warsaw, Poland, who concluded that she was attempting to circumvent UK immigration laws and hadn’t provided sufficient financial and other proof that her stays in the UK would be limited to two weeks at a time, as she stated on her visa application.

Zahoor says that his wife will reapply. The UK Border Agency said it does not comment on individual cases. 

See full article: http://www.kyivpost.com/content/ukraine/ukrainians-say-eu-nations-still-too-stingy-with-visas-319317.html

In another case, a British citizen who had been living in Ukraine for many years recently decided to return to live and work in the UK. His wife is Russian citizen (non EU citizen) therefore the UKBA applied the new rules regarding British citizens who return home with a spouse and family. These new rules mean that he had to prove that he was going to have a minimum income of £18,600 plus additional income to show he can support his wife and child. After some considerable delay the family are reunited again in the UK. But it was a worrying time.

Many people are unaware of some of the very crazy EU laws and how they conflict with UK laws.
A citizen of an EU country can go and live with his/her family in the UK without any special requirements.
This is EU law. The right to live anywhere in the EU. However immigration is a bad word these days in the UK and the British public are cautious about the new rights to be given to Bulgarian and Hungarian citizens later in 2013. The fear is that many of these citizens will be opting to live in the UK to 'enjoy' the generous state benefits to which they will be entitled. Try reading the Daily Mail each day and you will become aware.

However, in contrast to all this I was recently remind of the power of the 'Investment Visa', which many rich Ukrainian and Russian citizens are obtaining via the £1 million route to enter and live in the UK.
On a flight from Kyiv to London I met a Ukrainian man who tells me that he flies from Kyiv to London each Friday and back to Kyiv on Mondays. His wife, her mother and their young child all live in London thanks to the £1 million Investor visa system. They had no problems with getting a visa and have no problems with the UKBA.

Unfair system? - You bet.

Happy New Year & Happy Christmas in Ukraine

The long silence as been due to my winter exit from Ukraine to the warmer shores of Sri Lanka.
Today is Christmas Day (Orthodox) 7th January and many of us celebrate this day also.
I'm beginning to think that so many of my friends and Ukrainians decided to so the same this year and come to Sri Lanka to escape the winter. My Sri Lanka 'escape town' of Hikkaduwa has been invaded this year with Russians and Ukrainians on holiday.
Slavonic people are demanding customers these days and its obvious that the Sri Lankans are not used to dealing with people who complain about the food and service.
About time too I think as Sri Lankans have had an easy time of looking after the quieter Western Europeans (British, Germans, etc) who do not complain so much.

My message to Ukrainian tourists is.....keep up the good work. Things only change when people complain and/or take action.

Just a pity Ukrainians could not bring about some more important changes back in Ukraine.

What is this thing called the law?

This week I attended one of those ‘Breakfast Seminars’ in Kyiv organised by one of the ‘Big Four’ international accounting/consulting firms. Like many of you, I receive many breakfast seminar invitations each week and usually politely decline the invites. But this week the subject on offer was of interest to me.  e.g. Updates on current taxation for expatriates working in Ukraine plus recent changes from the authorities about personnel and Employment Law.

One of the really interesting things about living and working in Ukraine is the fact that legislation changes very rapidly. Moreover, when new laws are supposedly introduced very few people in government and the civil service have any idea what these new laws are all about. The law makers don’t know because they didn’t think it through. The law makers assume that ‘someone…somewhere’ will work it out and make it happen. The various government ministries don’t understand the new laws. The people working in the multitude of government offices have absolutely no idea what these laws are all about. Lawyers and accountants/consultants are probably the people who will try and get their heads around any new laws so they can see where the ‘loop holes’ exist. The people who should be most affected by these laws have absolutely no understanding of what is going on.

During the questions and answers session at the above mentioned breakfast meeting, one attendee asked about the benefits for a foreigner obtaining a permanent residents permit. The answers provided by the ‘experts’ from the big four company were good and in line with my understanding of the benefits. However, I was surprised when they discussed the negative aspects of the permanent residents permit indicating that once a foreigner holds this permit they fall under the exact same rules as a Ukrainian citizen. E.g. Ukrainian citizens are not allowed to hold a foreign bank account in a country outside Ukraine, nor are they allowed by law to own shares in any business outside Ukraine unless they obtain permission from the relevant government department. (Visions of soviet days spring to mind).

The ‘expert’ from the big four company explained that foreigners holding a residents permit should give up holding money in any foreign country. All their ‘wealth’ must be held in Ukraine.

I could not hold back the laughter any longer. I then proceeded ask if she was serious about this remark.   ‘It’s the law’, she replied. (The thought of all the wealth held by Ukrainians in offshore bank accounts brought another smile). So I then asked, WHO exactly would have the power to close my bank accounts held in other countries? The answer came back ‘Well we are not aware that anyone has experienced this yet’.  Nor are they likely to in my opinion. Anyhow I was pushed for time and had to leave the seminar.

But it got me thinking…….

Can the Ukraine Economy be 'De-dollarised'?

Important New Banking Rules in Ukraine

 

Individuals

Commencing 28th November 2012 – Individuals (Residents and Non-Residents)
will be allowed to receive a maximum equivalent of UAH 150,000 per month (approx. $18200) when transferred from another country into Ukraine. Any amount received over this limit will be automatically converted into UAH by their bank. This applies to all major currencies – EUR, GBP etc.  This is a National Bank of Ukraine ruling.

 

Companies

Since 19th November 2012 – 50% of ALL proceeds in foreign currency received in Ukraine
from export operations will automatically be sold and converted to UAH within ONE Banking day upon receipt by a Ukrainian Bank. The terms for settlement of cross border transactions has also been reduced from 180 days to 90 days.

This is not good for citizens or businesses in Ukraine.

It is clearly an attempt by the NBU and the Government to take control of the 'dollar economy' in Ukraine. For many many years people in Ukraine have made all arrangements in USD and recently in EURO. Citizens just do not feel comfortable dealing in their own currency the UAH.

Will people start dealing in UAH only? I very much doubt it.

The implications of these changes could be:

* Forcing even MORE money into the black economy (which is already one of the largest in   

   Europe).

* More 'offshore' deals taking place.

The UAH is expected to devalue further towards the end of 2012.

Foreign companies and most individuals will choose not to invest in Ukraine.

This is bad news.

Jaguar and Land Rover to be built in CHINA from 2014

Who would have thought it? Who would have thought that one day classic icon brands like Jaguar and Land Rover would be manufactured in CHINA.

This week news hit the UK that the owners of JLR (Jaguar Land Rover), TATA an Indian owned group have formed an agreement with the Chinese car manufacturer Chery to start making Jags and Landy's in China from 2014.

As many people have declared that just about everything will soon be made in China, perhaps they never expected this to include brands like Land Rover. British people are already forecasting a complete end to any manufacturing or assembly of these famous brands in the UK.

The success of Jaguar and Land Rover has for many years been due to the image of these cars being built to a high quality by British firms in the UK. Both brands have enjoyed an increase in sales recently.

China has now overtaken the US has the largest car market in the world, so maybe the move by TATA group is logical. Oh...by the way let's not forget the cheaper labour and manufacturing costs in China.

JLR company profits can only increase.

See the story here in the Daily Mail: Land Rover Story

Remembrance Sunday 11 November 2012

Today is Remembrance Sunday. Where the UK and Commonwealth countries remember all those who lost their lives as a result of war. A simple poppy (paper copy) is sold in the weeks leading up to the 11th November all over the UK and Commonwealth. (see image below). Money raised from the sale of these poppies is donated to the Royal British Legion Society.

Text below copied from Wikipedia:
In the United Kingdom, although two minutes of silence are observed on 11 November itself, the main observance is on the second Sunday of November,Remembrance Sunday. Ceremonies are held at local war memorials, usually organized by local branches of the Royal British Legion, an association for ex-servicemen. Typically, poppy wreaths are laid by representatives of the Crown, the armed forces, and local civic leaders, as well as by local organizations including ex-servicemen organizations, cadet forces, the Scouts, Guides, Boys' Brigade, St John Ambulance and the Salvation Army. The start and end of the silence is often also marked by the firing of a cannon. A minute's or two minutes' silence is also frequently incorporated into church services. Further wreath-laying ceremonies are observed at most war memorials across the UK at 11 a.m. on the 11th of November, led by the Royal British Legion. The beginning and end of the two minutes' silence is often marked in large towns and cities by the firing of ceremonial cannon and many employers and businesses invite their staff and customers to observe the two minutes' silence at 11:00 a.m. 

Election?......What Election?

Last month I wrote that the general election campaign had started in Ukraine and that nothing appeared to be happening. Well here we are with just 38 days to go to polling day and nothing much has changed.
This election may well be remembered as the most boring in the history of Ukraine.

There is plenty of media coverage of paid for campaigns on various TV channels and plenty of outdoor advertising from various political parties. Plus candidates are touring the country making speeches as is normal in any parliamentary election process.

But it is so boring...........zzzzzzzzzzzzz.

I just had a look at the web site for the Party of Regions POR (current majority holders in parliament).
Much to my surprise the site is also in English language. I was looking for any signs of a manifesto, which all political parties in so called democracies publish in advance so that the electorate can read about what the party intends to do if elected into power. The POR have produced a 'Programme'.
See: http://www.partyofregions.org.ua/en/about

This is the first manifesto I have read which contains absolutely NO FIGURES. There is no explanation from the POR as to how they would spend the national budget. No forecast of how much they would spend on Education etc. Critics could say, well, they just submitted the real budget last week in parliament. But this is not the point. ALL political parties should be clearly stating exactly HOW they would spend the peoples money. Ah.........I hear you laughing. Here in Ukraine that is the big difference. Those in 'power' consider the national budget to be their money and not the peoples money.

Still a long way to go in Ukraine, but then again the country has only enjoyed independence since 1991.