Vinnytsia region is recognized as the most comfortable region for doing business in Ukraine
The Office of Effective Regulation (BRDO) and the Union of Ukrainian Entrepreneurs (SUP) presented the rating “Regional Doing Business. 2018”, which evaluates the comfort of doing business in various regions of Ukraine.
The authors of the rating point out that the evaluation was carried out according to the adapted methodology of the World Bank based on a survey of domestic entrepreneurs. 1317 companies throughout Ukraine took part in the evaluation. The focus of the study was six areas of interaction of business with the government, namely: the enterprise creation, the payment of local taxes; obtaining building permits; registration of land parcels for the property; connection to the power grid, quality of electronic services.
Vinnytsia region took first place in the ranking, gaining 334 points out of 600 possible. The highest marks in the region were obtained by the criteria of creation of a company, registration of a land parcel and connection to the power grid. The lowest mark was obtained for the quality of electronic services. The first three rankings also included Ivano-Frankivsk (332 points) and Zhytomyr regions (313 points).
“If we leave the positive dynamics aside, the Ukrainian regions have two global issues. The first is the electrical connection. By this criterion, Ukraine ranks 128 in the world. The situation has worsened in all the regions over the past year. The second issue is equity of participation, which has acquired a corruption component and became a kind of a “stop sign” for investors (especially foreign ones) in the construction industry,” – comments Elena Shulyak, head of the Construction sector, BRDO, vice president of the SUP.
The authors of the rating gave recommendations to the regional authorities:
- To introduce electronic provision of permits and approvals by joining national e-services systems or by developing a local equivalent
- To ensure transparency of urban planning documentation, making it accessible for all users
- Join the #StartBusinessChallenge initiative
- Reduce the size of the contribution payment to the infrastructure to zero
- Accelerate the process of registration of land parcels for building the power lines