UKRSIBBANK hold an online conference for corporate clients
UKRSIBBANK BNP Paribas Group shares the importance of safety and has decided to run its regular semi-annual meeting for corporate business clients in a virtual format. As usual, the bank’s experts delivered their latest thinking on the key macroeconomic trends and developments, provided forecasts and other important business insights during the event.
The conference began with opening words by Laurent Dupuch, a chief in charge of BNP Paribas business in Ukraine, and continued with a presentation by Serhii Yahnych, Head of Investment Business of UKRSIBBANK BNP Paribas Group, bringing attention to the main macroeconomic challenges for the Ukrainian economy against recent developments.
«Confidence is the cornerstone of sustainable business development, a decisive factor for policymakers and financial markets. Many central banks and governments have done their great jobs in confronting COVID-related challenges and restoring confidence. Ukraine can cushion a looming confidence crisis by showing commitment to reforms and continuing cooperation with international creditors», — said Serhii Yahnych.
The Head of the Investment Business also delivered an explicit breakdown of related to COVID-19 outbreak impact on Ukraine’s economy in general, and its segments in particular. Industrial production, construction, labor market, current account balance were among those topics touched upon in his speech.
As far as the latter is concerned, he stressed, that external trade balance is likely to contract by USD 29 bn in 2020, reflecting a sharp decline in both exports and imports. Remittances might notably contract too. He added, however, that country’s current account is likely to remain under control.
In 2019 and early 2020 Ukrainian government and corporates benefited from favorable investment sentiment, attracting sizable funds in foreign and local currency. A sharp reverse in the market situation may restrict access to capital markets for some time. It is expected, however, that the government will manage to cover upcoming debt payments and budget deficit by official funding (IMF, EU, and others).
Keeping up on current events, UKRSIBBANK BNP Paribas Group continues to support its clients by providing expert advice, information support, and insights into Ukrainian and world economies.
«Luckily, the Ukrainian banking sector has faced the turmoil being in very good shape. Local banks have notably improved financial performance over the last few years. Provided maintained cooperation with the IMF and other international creditors Ukrainian economy has some strength to withstand upcoming challenges. At the same time, recovery from the global recession may prove to be anemic and unstable. — Serhii Yahnych summed up in his speech. — The world is entering the deglobalization phase, in which all value chains will be reviewed and adjusted».