Daily monitor

According to a note from the State Statistics Committee of Ukraine, industrial output fell 31.8% YoY in May, which is the same YoY decline as seen in April. Industrial output did grow 1.3% MoM, but the average daily output dropped 2.0%.

Kreditprombank, one of the 20-largest banks in Ukraine, has defaulted on its domestic bonds.

Rosspotrebnadzor has temporally banned dairy products exported from Belarus. The official reason is the non-compliance of Belorussian dairy products with the standards implemented in Russia.

Negative statistics on power output were released yesterday by the Ministry of Fuel and Energy of Ukraine.

According to the NBU, Ukrainian banks lost UAH 12 bln over 5M2009. The main driver for the losses was provisional expenses totaling UAH 28 bln. Net interest income was UAH 19 bln (46% growth YoY); net commission income, UAH 4.4 bln( -23% YoY); administrative expenses rose 7% YoY and totaled UAH 11.25 bln.

According to a note released late Friday afternoon, National Bank of Ukraine (NBU) has dropped the interest rate to 11% from the 12% imposed in April 2008.

According to Mr. Melnik, the Minister of Agriculture, Ukraine’s government will sell sugar from the State Reserve. The volume of sugar sold will depend on the market demand, though a total 40 thsd mt of sugar is available. Earlier, the government commissioned a state committee to sell 10 thsd mt of sugar to retail companies in order to stabilize domestic sugar prices.

On June 12, the Cabinet of Ministers decisions concerning the recapitalization of three banks were finally disclosed.

Shareholders of ArcelorMittal Kryvyy Rih [KSTL UZ, U/R] decided at their June 11 AGM to reinvest fully the 2008 profits and not to declare dividends for that year.

The State Property Fund has once again postponed the privatisation auctions for Prykarpattyaoblenergo [PREN UZ, BUY] and Sumyoblenergo, this time from June 12 to June 19, due to the lack of applications.