Analytical review of the week No. 124 of 11/07/2021.

ANALYTICAL REVIEW OF THE MOST IMPORTANT DOMESTIC, FOREIGN POLITICAL AND ECONOMIC EVENTS OF THE WEEK

05.07.- 11.07.2021

CONTENT:

SUMMARY AND KEY TRENDS.

INTERNAL POLICY.

1. V. Zelensky vetoed the law on restarting VKKS.

2. The court suspended the action of the NAPK order under Vitrenko's contract.

3. The court extended the measure of restraint for V. Medvedchuk.

4. The Pechersk District Court of Kiev arrested the head of the board of the Leninskaya Kuznitsa plant Valery Shandra.

5. Sociology. Presidential and parliamentary ratings.

FOREIGN POLICY.

1. Telephone conversation between Joe Biden and Vladimir Putin.

2. Statements by Anthony Blinken about the insufficient fight against corruption in Ukraine and the demand for reforms.

3. The situation in Afghanistan: the hasty withdrawal of American troops and the seizure of new territories by the Taliban.

4. Assassination of Haitian President Jovenel Moise.

ECONOMY.

1. Ukraine and China signed an agreement on cooperation in the field of infrastructure construction.

2. The role of banks in the sale of land.

3. "Ukrzaliznytsia" leases the commercial space of the railway stations.

4. American IT giants may leave Hong Kong due to the new law.

SUMMARY AND KEY TRENDS.

Summing up the political results of the outgoing week, it should be noted that:

First, in the country's internal policy, the general course of administrative, economic and informational strengthening of the power of the president and his entourage continues. As part of the trend towards confrontation between Bankova and external players for influencing the judicial system of Ukraine, the president vetoed the law on restarting the VKKS. Thus, V. Zelensky is trying to make sure that control over the courts does not completely pass to the West, while retaining certain opportunities for himself in this area.

Secondly, the policy of the authorities continues, aimed at establishing control over the main state-owned enterprises, one of which is Naftogaz. As part of this trend, the court stopped the action of the NAPK order under the contract of Yu. Vitrenko, who demanded to break it. for control over the judicial system, the confrontation between the OP and Western partners for the decisive influence on large Ukrainian state corporations, in the foreseeable future, will continue.

Third, the policy of “tightening the screws” continues, that is, cleaning up and discrediting the main political competitors of the current government. Court cases against P. Poroshenko's entourage are becoming more active. Searches are carried out in the structures of the Kyiv City State Administration and pressure is exerted on the mayor of Kiev V. Klitschko. V. Medvedchuk has been extended his house arrest for another two months.

Fourthly, a tendency towards a partial return of Russian-American relations to a constructive track has emerged in foreign policy over the past week. This is evidenced by the telephone conversation between the Russian and American presidents, which took place without mutual accusations, in a constructive manner. The range of issues on which the parties are ready to negotiate includes Syria, Afghanistan, cyberattacks and strategic arms control issues. Probably, now the US-Russian contacts at the highest level will occur with a certain frequency. This does not mean a full-fledged "warming" of relations between the parties. The main long-term trend in Russian-American relations remains the new Cold War. However, it does not mean the inability to agree on individual issues, on which there are no existential contradictions.

Fifth, another foreign policy trend that manifested itself in the outgoing week is the political pressure on the Ukrainian leadership from the United States to force Kiev to implement scenarios of judicial reform and corporate governance reform that are beneficial to Washington. US Secretary of State Anthony Blinken openly expressed the relevant recommendations to the Ukrainian authorities this week. In the foreseeable future, we should expect a continuation of the struggle between the Office of the President and Western partners for control over the judicial system and large state corporations of Ukraine.

Sixth, in spite of political pressure from the West, Ukraine, with varying success, is strengthening economic and, more recently, political interaction with China, establishing closer ties with its trade partner No. 1 in terms of trade.

Seventh, the management of the largest Ukrainian state-owned companies systematically demonstrates their incompetence, judging by the financial statements and the recent decision to lease the commercial space of the stations to retailers.

 

INTERNAL POLICY.

Briefly.

In the domestic policy of the country, the general course of administrative, economic and informational strengthening of the president's power continues.

As part of the trend of confrontation between Bankova and external players for influence on the country's judicial system, the president vetoed the law on restarting the VKKS. Thus, V. Zelensky is trying to make sure that control over the courts does not completely pass to the West, while retaining certain opportunities for himself in this area.

The authorities continue to pursue the policy of establishing control over the main state-owned enterprises, one of which is Naftogaz.” As part of this trend, the court suspended the order of the NAPK under the contract of Yu. Vitrenko, which demanded that it be broken.

In addition, the policy of “tightening the screws” continues, that is, cleaning up and discrediting the main political competitors. Court cases against P. Poroshenko's entourage are becoming more active. Searches are carried out in the structures of the Kyiv City State Administration and pressure is exerted on the mayor of Kiev V. Klitschko. V. Medvedchuk has been extended his house arrest for another two months.

1. V. Zelensky vetoed the law on restarting VKKS.

On July 8, President of Ukraine Volodymyr Zelenskyy vetoed Law No. 3711-d on amendments to the Law of Ukraine "On the Judicial System and the Status of Judges" and some laws of Ukraine regarding the resumption of the work of the High Qualification Commission of Judges of Ukraine.

The President explained the veto by the presence of partially competing amendments in the law - one norm gives international experts a decisive vote in the competition commission, and the other determines that two votes of Ukrainian and international experts are required to make a decision on the appointment of a member of the VKKS.

V. Zelensky proposes to introduce into the law a provision stating that the VKKS is considered plenipotentiary, provided that at least 11 members are appointed to its composition, at least six of whom are appointed among judges or retired judges. At the request of a member of the first composition of the Competition Commission, it is proposed for organizational or technical support for the implementation of his powers, the CC can attract assistants, translators, whose financing can be carried out with the involvement of international technical assistance.

Despite the fact that the law on restarting the VKKS was adopted taking into account the amendments necessary for Western partners, the president's veto indicates that Bankova is not going to completely surrender control over the judicial system to external players, realizing that in this case the current government is unlikely to be able to manage processes in the country. On the other hand, it is extremely important for the President's Office to maintain the support of the West, especially before V. Zelensky's visit to the United States. Ultimately, the OP hopes to share the influence on the judicial system with Western partners, pushing out of it the previous groups of influence of Petro Poroshenko.

2. The court suspended the action of the NAPK order under Vitrenko's contract.

This week, the Kiev District Administrative Court stopped the action of the NAPK order of July 1 to the supervisory board of NJSC Naftogaz of Ukraine to terminate the contract with the head of the company's board Yuriy Vitrenko.

On July 6, the Supervisory Board of NJSC "Naftogaz of Ukraine" at an extraordinary meeting did not decide on the possible dismissal of the head of the board of the company Y. Vitrenko. The Supervisory Board expressed its deep concern about the continuing uncertainty regarding the situation with the appointment of the head of the board. They noted that this has a decisive impact on the possibility of implementing the Joint Roadmap, which was agreed upon under the re-election of the company's supervisory board in May 2021.

We will remind that earlier the National Agency for the Prevention of Corruption (NAPC) sent an order to the head of the supervisory board of Naftogaz of Ukraine Claire Spottiswood, in which she demands to terminate the contract with the head of the NJSC board, Yuriy Vitrenko, as illegal. In turn, Vitrenko appealed to the OASK with a request to stop the action of the NAPK prescription, as well as to declare it unlawful and cancel it.

These events continue the trend of confrontation between the current government and Western partners for control over the main state-owned enterprises of the country.

The personnel reshuffles in Naftogaz in April do not quite suit Westerners. Y. Vitrenko, being V. Zelensky's henchman and related to R. Akhmetov, reduces the influence of Western partners on the enterprise. Therefore, with the help of the NAPC and the supervisory board, they are trying to change the balance of power in their favor. For its part, the Office of the President is trying to defend the appointment of Y. Vitrenko through the courts. Considering that the Supervisory Board of Naftogaz only “expressed deep concern” in this matter, it can be assumed that the OP and Western partners are behind the scenes trading or negotiating a compromise option under which Y. Vitrenko will still remain the head of the board.

3. The court extended the measure of restraint for V. Medvedchuk.

On July 9, the Pechersk District Court of Kiev extended the house arrest of MP Viktor Medvedchuk, a member of the OPSZ, for two months, who is suspected of high treason. He remains under house arrest until September 7, 2021.

Also, the Pechersk District Court of Kiev extended the period of pre-trial investigation in the criminal proceedings of V. Medvedchuk and deputy Taras Kozak to 6 months.

For his part, V. Medvedchuk states that house arrest prevents him from carrying out his activities, considers the decision illegal, taken in violation of the current legislation, and will appeal.

Considering that earlier the Office of the Prosecutor General insisted on the application of a preventive measure in the form of detention with the alternative of paying bail in the amount of UAH 300 million 930 thousand, and the court did not satisfy the appeals of both lawyers and prosecutors, this decision is more likely aimed at neutralizing V. Medvedchuk as a political competitor. At the same time, the process can take years, and here the political effect, both internal and external, is of greater importance.

As part of the internal trend towards “tightening the screws'', the authorities continue to develop the case of V. Medvedchuk as an example of the fight against the “fifth column” (V. Medvedchuk is a representative of the least protected “anti-Western” opposition in the current conditions). Along with this, a commitment to a pro-Western political vector is demonstrated, as well as an imitation of the de-oligarchization process.

Until September, the case of V. Medvedchuk was put on pause, as it were.

4. The Pechersk District Court of Kiev arrested the head of the board of the Leninskaya Kuznitsa plant Valery Shandra.

On July 7, the Pechersky District Court of Kiev arrested Valeriy Shandra, the head of the board of the Kuznya na Rybalskiy plant (before renaming in 2017 - the Leninskaya Kuznya plant), for two months. The court chose a preventive measure in the form of detention with the alternative of paying bail in the amount of more than 443 million hryvnias. V. Shandre faces up to 10 years in prison.

According to the investigation, in 2016-2018, the Ministry of Defense for the needs of the military purchased combat boats Centaur (produced by "Forge on Rybalsky") and ambulances (manufactured by PJSC ``Bogdan Motors") of inadequate quality, as a result of which the state suffered about $ 500 million in damage. hrn. Until mid-November 2018, the enterprises of Petro Poroshenko and Igor Kononenko were the main shareholders of Kuzni na Rybalskiy. Now the shares and real estate of the plant are under arrest.

In turn, the Pechersky District Court of Kiev could not choose a measure of restraint for the former Deputy Minister of Defense of Ukraine of the times of P. Poroshenko, Igor Pavlovsky. Investigators from the State Bureau of Investigation suspect him of purchasing low-quality equipment for the Armed Forces.

The case of Oleg Gladkovsky, the former deputy secretary of the National Security and Defense Council under Petro Poroshenko, also intensified. According to the investigation, he caused almost UAH 18 million in losses to the state. P. Poroshenko himself has also become a defendant in several high-profile cases since 2019, the investigation of which continues to this day.

It should be added that a series of searches in the structures of the Kyiv City State Administration also continued this week. On July 8, investigators from the State Security Service and the Security Service of Ukraine conducted searches in the premises of the Department of Transport Infrastructure and the Kyivavtodor Space Center. It is noted that the searches are carried out on the basis of the decision of the investigating judge of the Pechersk District Court of Kiev in the framework of criminal proceedings regarding the purchase of equipment by the Kievavtodor KK. On the website of the Kyiv City State Administration, the actions of law enforcement officers were called political pressure. Earlier, the head of the Kyiv City State Administration V. Klitschko called such actions pressure on local authorities. The mayor considers the mass searches at the municipal enterprises of the capital to be a special operation against him personally.

The ongoing pressure from the central government on the Kiev measure is caused by the destruction of the pre-existing alliance of Klitschko and Bankova to manage financial flows in the city. In addition, V. Klitschko's presidential ambitions are also important.

The events described above continue the tendency of the authorities to “tighten the screws”, suppress and discredit the main political opponents. In the case of P. Poroshenko, who secretly enjoys immunity from Western partners, the OP will intensify legal proceedings against members of his entourage, thereby making it clear that an active campaign is being launched against the fifth president. In parallel, the OPs demonstrate an imitation of the beginning of the “promised landings”. And since the scandal around "Ukroboronprom" caused general indignation, and the figure of P. Poroshenko is quite toxic, such steps by the authorities should, as expected, cause approval and support its rating among the main part of society.

5. Sociology. Presidential and parliamentary ratings.

This week, two sociological studies were published - the "Rating" Sociological Group and the Kiev International Institute of Sociology (KIIS).

According to the KIIS, 64% of citizens believe that things in the country are going in the wrong direction.

• The activities of President V. Zelensky are not approved by 52.7% of the respondents.

• 71.7% - support the holding of a referendum to ban the sale of agricultural land

• Among those who would take part in the vote, 74.9% would support a ban on the sale of agricultural land.

• The absolute majority of Ukrainians - 84.1% - do not support the sale of agricultural land to foreigners.

• 56.4% - believe that the law on de-oligarchization is not a threat to the oligarchs.

The leader in the parliamentary rating is:

• "Servant of the People" - 20.6% in comparison with the poll published by KIIS in early June (17.7%), the rating increased by 3%.

• “HLE” - 16.9% (+ 2% growth dynamics).

• European Solidarity - 15%, the rating has not changed since the beginning of June.

• "Batkivshchyna" - 14.7% (not significantly changed).

According to a sociological study published by the Rating group, it continues to lead in the presidential rating:

• V. Zelensky - 29.1% of the respondents. In comparison with the poll published in May (30.2% according to the "Rating"), the president's rating has not changed significantly (-1% within the margin of error). This is followed by:

• P. Poroshenko - 13.4% (+ 1.5% within the margin of error).

• Yu. Boyko - 12.5% ​​- changes within the margin of error.

• Y. Tymoshenko - 11.3% - from May + 3.7%.

In the second round of elections:

• In a pair of Zelensky against Poroshenko, Zelensky wins with a score of 65% to 35%.

• in a pair of Zelensky against Tymoshenko - 61% by 39% (Zelensky wins).

• in a pair of Zelensky against Boyko - 66% by 34% (Zelensky wins).

The rating of trust in politicians is topped by:

• Volodymyr Zelenskyy, 46% of respondents trust him, 52% do not trust him; balance: (-6%)

The anti-rating of politicians is headed by:

P. Poroshenko: 45% would not vote for him under any circumstances. At the same time, 27% would not vote for V. Zelensky

The leader in the parliamentary rating is:

"Servant of the people" - 24.9%. In comparison with the poll conducted by the "Rating" group in early May 2021, the party's rating has not changed. The CH rating has not changed since April 2021.

• “European Solidarity” - 13.5%, the rating has not changed.

• “Opposition Platform - For Life” - 12.8%, changes within the margin of error.

• "Fatherland" - 12.3%. - has not changed significantly.

The survey results indicate the following:

Despite the fact that the ruling team maintains its leading positions, the party and presidential ratings have not shown growth for more than a month.

The society of Ukraine as a whole does not approve of the activities of V. Zelensky.

In particular, the overwhelming majority of citizens oppose the opening of the land market and do not take the president's legislative initiative on de-oligarchization.

To this we can add that more than a quarter (27%) of Ukrainian society would not vote for V. Zelensky under any circumstances.

The sufficiently high anti-rating of V. Zelensky makes him potentially vulnerable to new candidates, if such appear in the next presidential election.

FOREIGN POLICY.

Briefly:

In foreign policy, the outgoing week showed a tendency for a partial return of Russian-American relations to a constructive track. This is evidenced by the telephone conversation between the Russian and American presidents, which took place without mutual accusations, in a constructive manner. The range of issues on which the parties are ready to negotiate includes Syria, Afghanistan, cyber-attacks and, of course, strategic arms control issues. Probably, now the US-Russian contacts at the highest level will occur with a certain frequency. This does not mean a full-fledged "warming" of relations between the parties. The main long-term trend in Russian-American relations remains the new Cold War. However, it does not mean the inability to agree on individual issues, on which there are no existential contradictions.

Another foreign policy trend that manifested itself last week is the political pressure on the Ukrainian leadership from the United States, carried out with the aim of forcing Kiev to implement scenarios of judicial reform and corporate governance reform that are beneficial to Washington. US Secretary of State Anthony Blinken openly expressed the relevant recommendations to the Ukrainian authorities this week. In the foreseeable future, we should expect a continuation of the struggle between the Office of the President and Western partners for control over the judicial system and large state corporations of Ukraine.

1. Telephone conversation between Joe Biden and Vladimir Putin.

On July 9, at the initiative of the American side, a telephone conversation took place between the American and Russian president’s Joe Biden and Vladimir Putin. The conversation lasted about an hour. Its main topics were cyberattacking and the situation in Syria.

Regarding the first of the announced topics, the press service of the White House said that the United States did not have evidence of the involvement of the Russian state in cyberattacks, but Joe Biden called on Vladimir Putin to investigate all such crimes carried out from the territory of the Russian Federation.

In addition, as a result of the conversation, the American side stated that it reserves the right to launch retaliatory cyberattacks on servers used by hackers in Russia.

In general, the condemnation of manifestations of cybercrime found a response and understanding of the Russian side, which declared its readiness to help the United States in investigating such incidents, within the framework of bilateral and international agreements on combating crime.

A White House press release on the phone call between the two presidents also said the leaders praised their teams' collaboration following the June 16 US-Russia summit in Geneva, which led to the unanimous adoption by the UN Security Council of a resolution to extend cross-border assistance to Syria.

In general, according to the statement of both parties, the conversation was in a constructive manner. The White House said that the US President understands that even after the meeting with Putin in Geneva, "there will be a need to continue dialogue and interaction" with Moscow. Thus, further periodic contacts at the highest level between the American and Russian sides are to be expected.

The above news indicates that after the recent meeting of Biden with Putin in Geneva, contact was established between the United States and the Russian Federation at the highest level, which will now be periodically used to resolve issues that do not cause existential contradictions between the parties. Syria, cyberattacks, arms control and Afghanistan are among those issues. As for Ukraine, things are much more complicated with it, since the positions and interests of Washington and Moscow are diametrically opposed here. That is why, as a number of Western publications wrote after the meeting in Geneva, of the four "baskets" according to which the presidents sorted all the controversial issues of bilateral relations, Ukraine fell into the latter (that is, among the problems on which it is most difficult to agree).

Nevertheless, it is possible that some intensification of diplomatic contacts between Washington and Moscow (albeit against the background of a long-term trend towards a new Cold War) will have a stabilizing and pacifying influence on the foreign policy situation around Ukraine.

2. Statements by Anthony Blinken about the insufficient fight against corruption in Ukraine and the demand for reforms.

On July 9, during a speech at the Ukraine Reform Conference in Vilnius, US Secretary of State Anthony Blinken said that corruption caused Ukraine to lose 30% of its GDP, including bribes, underserved hospitals and schools, and prepayment for energy supplies. Resources.

Blinken named five main steps for Ukraine, which, in his opinion, can lead to an improvement in the situation:

• Adoption of laws on the High Council of Justice and the High Qualifications Commission for Judges;

• transparent selection of leaders of NABU and SAP;

• adoption of the law on corporate administration;

• reform of the SBU;

• fight against corruption among representatives of the highest authorities.

It is noteworthy that regarding the fight against corruption in the highest echelons of state power, the US Secretary of State noted that over the past 7 years, not one of the major officials accused of corruption has been sentenced to a real prison term.

Blinken's statement and his "advice" to the Ukrainian leadership regarding "reforms’ should be perceived as pressure on the Ukrainian authorities in order to advance American interests. In the list of tips, we see a recommendation to carry out a judicial reform that is beneficial for the West (with a decisive role of international experts in the selection of judges), and a requirement to appoint to leading positions in NABU and SAP those whom Washington preliminarily approved, and a recommendation, in fact, to hand over large state corporations under the management of supervisory boards formed from foreigners.

Earlier, we have repeatedly written that all of the above spheres are currently a field of confrontation between the Office of the President and the structures of Western influence. Control over them is seen by both sides of this confrontation as a means to increase their influence on the internal political processes in the country. This means that in the near future, the struggle for control over the judicial system, anti-corruption vertical and corporate governance will continue.

3. The situation in Afghanistan: the hasty withdrawal of American troops and the seizure of new territories by the Taliban.

On July 9, Taliban spokesman Suhail Shahin announced that the Taliban control 85% of the territory of Afghanistan. And although Western sources provide more modest numbers, the Taliban's progress in occupying territories over the past two weeks is obvious.

In the past week alone, the Taliban have seized a number of areas in the north of the country, forcing more than 1,000 Afghan regular army personnel to flee to neighboring Tajikistan. The situation is unfolding in a similar way near the border with Turkmenistan. In addition, on July 9, the Taliban attacked Afghanistan's second largest city, Kandahar.

This development of events was the result of the withdrawal of the American military contingent from the country, which is currently passing at a faster pace. The US military intends to complete the withdrawal from Afghanistan ahead of schedule (September 11). Most likely, by early August there will be no American troops in Afghanistan.

The hasty withdrawal of the Americans, on whose military support the central government of President Ashraf Ghani is based, provoked a real collapse of the power vertical in the periphery. Local authorities either flee the areas entrusted to them, or enter into agreements with the Taliban and transfer the territories under their control. Tribal elders do the same. In many areas, the Taliban are greeted with enthusiasm as liberators from the puppet pro-American regime.

In these conditions, neighboring countries and major geopolitical players operating in the region.

The region has expressed concern about how the security environment will change after the Taliban comes to power. On July 8-9, a delegation from the Taliban's political wing paid a visit to Moscow. To the fears of the Russian side about the future of the Central Asian countries bordering on Afghanistan, its representatives replied that their organization had no plans to expand outside their country.

In part, these statements by the Taliban are justified. Unlike most radical Islamist organizations in the world, proselytism is alien to them. In fact, the Taliban's ideology is based not only on a religious but also on an ethnic (Pashtun) basis. For this reason, it is unlikely that after gaining power in Afghanistan, they will begin to carry out external expansion.

4. Assassination of Haitian President Jovenel Moise.

On the night of July 7, unknown persons broke into the heavily guarded house of Haitian President Jovenel Moise, shot the head of state and seriously wounded his wife.

Judging by the video from the scene, there was a real battle on Wednesday night. The walls of the house are literally riddled with bullets. On the body of 53-year-old Moiz, 12 gunshot wounds were counted.

According to Haitian authorities, the attack was carried out by a well-armed and organized group, which included 26 retired Colombian military personnel and two Haitian Americans. 17 of them, including both Americans, were detained, four were killed in shootings with security forces, and eight more remain in hiding.

The assassinated President Jovenel Moise is known for having usurped power in the country in recent years. Over the past 9 months, he ruled alone, effectively abolishing the system of separation of branches of government, checks and balances. Most likely, this was precisely the reason for his murder.

Despite the fact that most of the mercenaries who killed the president are foreign citizens, it seems to us that the most likely version is the organization of this crime by political competitors of Moise within the country. Few in Haiti were happy with the president's sole rule.

ECONOMY.

Briefly:

Despite political pressure from the West, Ukraine, with varying degrees of success, is strengthening economic and, more recently, political interaction with China, establishing closer ties with its trade partner No. 1 in terms of trade.

The management of the largest Ukrainian state-owned companies systematically demonstrates their incompetence, judging by the financial statements and the recent decision to lease the commercial space of the stations to other enterprises.

1. Ukraine and China signed an agreement on cooperation in the field of infrastructure construction.

On June 30, the governments of Ukraine and China signed an agreement on cooperation in the field of infrastructure construction and the implementation of joint projects. Among the priorities of cooperation are railway transit, airports, ports, communications and municipal engineering construction. Countries are also working on a visa-free agreement.

On July 7, David Arahamia was interviewed by the Chinese news agency Xinhua, in which he stated that "The CCP's experience in government is worth borrowing." He made several other laudatory statements regarding the CCP and China in general.

This statement by Arakhamia in diplomatic language is an apology to China for its recent attempt to support a Western resolution condemning the Uyghur “genocide”. Ukraine still expects to receive half a million doses of the Chinese vaccine CoronaVac.

China is Ukraine's # 1 trade partner. Trade between the two countries in 2020 reached a record $ 15 billion. Against the background of a general increase in food consumption and last year's poor harvest, China is buying millions of tons of Ukrainian corn and sunflower oil, allowing Ukraine to postpone concessions to the IMF to receive the next tranche.

2. The role of banks in the sale of land.

This week, forecasts were published according to which, according to the optimistic scenario, banks will lend to farmers at 3 percent per annum, for a period of up to 10 years, and after assessing the land, for individuals, the initial payment may be 20-30 percent, and for legal persons - 20-40 percent. Loans will be issued to individuals, although banks will evaluate legal entities that are involved in agricultural business. The head of the board of Alliance Bank Yulia Frolova predicts that active lending to farmers by Ukrainian banks will begin in 2-3 years.

In the long term, land will only rise in price both on the Ukrainian market and on the world market. The Ukrainian government will gradually formalize legislation in such a way as to push farmers to sell their land as soon as the price has risen, in order to then resell the land to foreign players after 2025 at several times more expensive. An example of such legislation forcing farmers to sell their land is bill No. 5600, which reduces the amount of preferential land for conducting agricultural business from 2 to 0.5 hectares and introduces a “minimum new tax liability ”for land owners. In the future, the authorities will come up with new ways to force farmers to sell their land.

3. "Ukrzaliznytsia" leases the commercial space of the railway stations.

On July 2, Ukrzaliznytsia held the first auctions for the lease of commercial space for railway stations on the Prozorro platform. They exhibited 18 objects with a total starting rent of 73.4 thousand hryvnia, and as a result of the auction, this figure increased to 108.2 thousand hryvnia. Recall that Ukrzaliznytsia intends to lease commercial space at an average of 24 stations and plans to receive at least UAH 8,400,000 per month, and more than UAH 100 million per year.

The desire of Ukrzaliznytsia to lease the station space is evidence of the low qualifications of the company's management, unable to manage the ramified and complex structure of the state monopoly on its own, and seeking to receive “passive income” by receiving rent from businesses engaged in retail trade in the areas of Ukrzaliznytsia.

4. American IT giants may leave Hong Kong due to the new law.

On July 5, The Wall Street Journal published an article with information obtained from its own sources that Facebook and Google have threatened the Hong Kong government to cease its activities in this Autonomous Region of China if it does not abandon plans to increase liability for malicious distribution of personal data on the Internet.

The practice of publishing personal data of political opponents is called “doxing” and has spread in Hong Kong since 2019, with the beginning of active protests in connection with the adoption of the law on extradition to mainland China.

Such an ultimatum from the American IT giants is another example of double standards, since similar laws are also being adopted in France, such as the law prohibiting the filming of police officers on duty.

Moreover, information about the possible termination of the work of Google and Facebook may lead to a new round of mass protests in Hong Kong. Thus, IT giants are helping to undermine the situation in the autonomous region, provoking protesters to go to new demonstrations, this time against the shutdown of Facebook and Google.

 

Edited by:

Ruslan Bortnik,

Daniil Bogatyrev.

Authors:

Daniil Bogatyrev,

Oksana Krasovskaya,

Andrey Timchenko.