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Ukraine Presentation Booklet-13.Pdf Ukraine Dear Friends! I heartily greet you upon the World Ukraine is actively working for building Congress of Accountants “2020 Vision: up a clear legal framework for foreign Learning from the Past, Building the companies, particularly by accounting Future”. and audit reforming which will positively influence the investment climate and Ukraine has a strong community macroeconomic stabilization of the of accountants, which strives for Ukrainian economy. establishing closer relations with international colleagues and adopting Ukraine strives for European future, world’s best practices. active development and further reforms. We are interested in enhancing Today’s economic environment requires international cooperation, attracting from an accountant to have knowledge foreign investments as a factor and skills which would meet the of development and technologies existing challenges, in particular, the upgrading, as well as introduction increasing amount of information, of the best business practices and complication of business transactions improvement of professional education and development of management standards. mechanisms. We will be grateful for your participation The recently ratified Ukraine – in the formation of strong, democratic European Union Association Agreement and economically developed Ukraine. is a new step towards comprehensive reformation of our country on the basis Hoping for productive cooperation, of the European standards and values. Yours faithfully, Prime Minister of Ukraine Arseniy YATSENYUK Ukraine. Excellent geographical position: Baltics CIS nations Scandinavia Ukraine’s area: 603.5 thousand km2 Ukraine is a unitary state. The territory of the Our neighbours: Northern CIS nations country is divided into 24 regions and the Europe Population: 45.5 million people Autonomous Republic of Crimea, and two cities • Poland (EU member) with special legal status: Sevastopol and Kyiv. Ukraine’s climate is mostly temperate • Romania (EU member) Kiyv continental changing to Mediterranean in Crimea. Ukraine is the largest European country located at the crossroads of trade routes • Slovakia (EU member) Ukraine has favorable geographic and climatic Europe – Russia – Central Asia –Middle East. conditions. This makes it an ideal location to accommodate • Hungary (EU member) production and exports to Europe and Asia. Ukraine has steppe, forest-steppe and forest • Russia Central zones, and mountains. Landscape diversity and Four of the 10 European transport corridors pass Europe rich history make Ukraine an attractive tourist through Ukraine. • Belarus Central Asia destination. Ukraine has access to the Azov and Black Seas • Moldova China Ukraine is a democratic state. Ukraine and further out to the Middle East. Southern Europe Far East is a republic with parliamentary presidential system of government. Middle East Africa Midle East Trans Caucasus Sentral Asia Baltics CIS nations Scandinavia Northern CIS nations Europe Kiyv Central Europe Central Asia China Southern Europe Far East Middle East Africa Midle East Trans Caucasus Sentral Asia Today Ukraine can offer Ukraine is building innovative Agriculture to investors a wide range infrastructure to expand the of sectors that are highly technology-intensive production • Agriculture makes 13% in Ukraine’s GDP; profitable for investment and introduce cutting-edge • Share of commodities in exports is 27%; technologies. Our country still has technology-intensive • Agricultural land covers 70% of the production facilities that can produce aviation • ІТ; total area; and space machinery, complex machines and various mechanisms. • Biotechnologies and pharmaceutics; • Ukraine possesses 30% of world’s black soil; • Nanotechnologies; • World’s largest sunflower oil exporter; • Aerospace industry; • World’s second largest exporter of grain; • Microelectronics; • In Top-3 world’s exporters of corn; • Energy efficiency and energy saving. • Tax benefits for agricultural business. Auto components market Information Technology Alternative energy • Ukraine is located between automotive • Ukraine is the most educated nation • Rapid industry development since 2009; clusters of Central Europe, Russia and per 1000 inhabitants and third most Turkey; IT educated nation; • Renewable energy sources in the overall electricity production output increased • 450 auto components producers, 50 are • Top IT outsourcing service provider in CEE from 0.32% (2012) to 0.64 % (2013); of foreign origin; region in 2013; • Total renewable energy generation • 365 days of raw processing scheme which • IT contributes 3% to GDP; capacity is 1 247 MW; allows to import raw materials and export final goods exempted from taxes, duties, • IT export grew at 20% CAGR in 2010-2013 • Ukrainian renewable energy plants has quotas and licensing; years; reached 0.9 GW by the end of June 2013 or 1.7% of all Ukrainian power plants; • Abundant technically skilled labor. • Ukraine can be the 6th world’s largest IT- exporter in 2015; • Wind energy growth rate in Ukraine totaled 56% in 2013; • IT industry employs 215 000 people. • Favorable “green tariff”. Return on investment is 5-7 years. Accounting in Ukraine Ukraine is working actively to reform the are applied for accounting and preparing in Ukraine” and International Financial accounting system including the introduction financial statements by entities. Reporting Standards. Ministry of Finance of International Financial Reporting Standards of Ukraine also regulates accounting in the to ensure openness, objectivity, impartiality and Starting in 2012 Ukrainian public joint stock public sector. Government’s priority in that area transparency of financial reporting, meet the companies, banks, insurance companies and is approximation of accounting and financial information needs of owners and investors for other finanсial institutions were obliged to apply reporting of this sector (spending units, treasury making effective management decisions. International Financial Reporting Standards. and funds of obligatory state social and pension insurance) to international accounting Ministry of Finance of Ukraine is the main All other entities may voluntarily switch to the standards for the public sector. In 2015 public authority providing for development and application of international standards. sector entities will be gradually switching implementation of the national policy in the field to applying national standards (regulations) of accounting. Ministry of Finance of Ukraine translates the of accounting in the public sector. In 2016 IFRS Taxonomy labels in Ukrainian and publishes it is planned to ensure application of unified Ministry of Finance of Ukraine performs the the translation on the website of the IFRS chart of accounts in the public sector and new approximation of legislation on accounting Foundation. unified forms of financial statements by public and audit in Ukraine to the EU legislation, sector entities. This will ensure transparency ensures application of International Financial For enterprises that use national accounting of accounting processes and transparent Reporting Standards and publishes them on the standards the Ministry of Finance of Ukraine has consolidation of information. official website, ensures cooperation with the adopted a package of 34 standards that do not International Accounting Standards Board. conflict with international standards. There has been created accounting system in Ukraine that complies with international The legal basis for regulating and organising For small and micro enterprises a simplified requirements and ensures preparing reliable accounting and preparing financial statements procedure for accounting and financial reporting financial statements for the needs of all types in Ukraine is defined in the Law of Ukraine is applied. of external users. “On Accounting and Financial Reporting in Ukraine”. The National Bank of Ukraine establishes For more details please visit the procedures for accounting and financial the Ministry’s of Finance of Ukraine National accounting standards reporting in banks under the Law of Ukraine website at www.minfin.gov.ua or International Financial Reporting Standards “On Accounting and Financial Reporting Audit in Ukraine Legal grounds for the audit activities in Ukraine Chamber of Ukraine is continuously engaged on improvement of financial control system are defined by the Law of Ukraine On Audit in updating international standards on auditing in Ukraine, approved on November 14, 2001, the Activities No 3125-ХІІ of April 22, 1993. by translation of the current version of the Audit Chamber of Ukraine introduced annual standards, approving them for use as the national continuous 40-hour professional education Only the audit firms and auditors, registered standards of auditing. As of May 1, 2014, the programs for auditors. in the Register of audit firms and auditors, have Audit Chamber of Ukraine approved International exclusive right to be engaged in audit activities. quality control, auditing, review, other assurance, As of 2007, the Audit Chamber of Ukraine As at January 1, 2014, 2 734 persons have valid and related services pronouncements of 2012 introduced mandatory external quality control auditor certificate, and 170 persons have bank as mandatory for use by the auditors and audit of audit services (once every six years) of all audit auditor certificates, while 1251 audit firms and firms, as well as the Code of Ethics of Professional firms and self-employed auditors, registered 237 self-employed
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