IBI-Rating has affirmed the rating of investment attractiveness of Kamianets-Podilskyi city territorial community

National rating agency IBI-Rating informs on affirming of the rating of investment attractiveness of Kamianets-Podilskyi city territorial community at invBBB+.

Such rating grade represent a sufficient investment attractiveness in comparison with other rating objects. The «+» mark is an intermediate rating category for the major categories.

Were taken into account:

1. Socio-economic development and budgetary support of the community
The economic complex of the community is moderately diversified by industries and areas. The economy of the community is represented by: the industrial sector and a number of small and medium-sized enterprises, which mainly satisfy the various needs of regional industries, households and the population. During 2020, 47 main industrial enterprises operated in the community. Including: 40 enterprises of the processing industry, 5 enterprises specializing in utilities, as well as 2 enterprises of the extractive industry and quarrying. The basis of community’s economy is metallurgy, mechanical engineering, energy and the production of motor vehicles. Most of the economic indicators of the city's development are comparable to cities with a similar socio-economic profile, but lower than in Ukraine as a whole. According to the results of 2020, the volume of the community's own budget revenues per 1 inhabitant of the Kamianets-Podilskyi CTC amounted to UAH 7.3 thousand, which is slightly lower than for the local budgets of Ukraine as a whole. The impact of the pandemic on the city's economy has led to a significant decrease of city budget revenues. According to the results of 2020, the city budget deficit amounted to UAH 769.3 thousand. The budget has a low level of direct and a moderate level of consolidated debt burden: as of 01.01.2021, the direct debt burden is 2.63%, and the consolidated debt burden is 23.87% of community's own budget revenues for 2020.

2. Investment potential of the community
Kamianets-Podilskyi city territorial community has a favorable geographical position. The presence of railway infrastructure and roads (national and regional) has a positive effect on the logistics capabilities of the community. The nearest operating airport is in Chernivtsi - 90 km (International Airport). On the community’s territory there are deposits of minerals, which are natural building materials: gypsum, limestone, clay, loam, etc. The volume of deposits makes it possible to increase the level of their use. Sources of sodium chloride mineral waters with a high bromine content have been explored on the territory of Kamianets-Podilskyi city, which have not yet been put into operation. Kamianets-Podilskyi city is distinguished by the originality of the landscape and favorable natural and climatic conditions, the presence of a significant number of monuments of architecture, art and nature. The city has established itself as a powerful tourist center of Ukraine and today offers a wide range of tourist services. The city hosts numerous festivals every year. There are more than 20 hotels in the community, certified from 1 to 4 stars. In addition, the city authorities are working out a number of investment projects for the development of tourism infrastructure.

3. Community business environment and investment policy of the city government

Kamianets-Podilskyi city council pays due attention to stimulating business development. Most of the tax rates are below the maximum provided by tax legislation. Useful information for entrepreneurs is posted on the official website in a separate section, and free consultations on the organization and implementation of entrepreneurial activities are provided. Credit and financial support for entrepreneurs is also provided. In addition, significant attention is paid to the work aimed at attracting investment. The city council is developing and implementing the Investment Attraction Program. In order to inform potential investors, the section "Investment Policy" has been created on the website of the city council and is constantly being updated. The Investment Passport of the territorial community has been created and is being distributed. Information about the investment potential is published on various state resources: on the "Map of investment contact points", which is maintained on the basis of the website of the Ministry of Economy, on the websites of the regional state administration, the Ministry of Economic Development and Trade of Ukraine, the Ministry of Foreign Affairs of Ukraine, Ukrainian embassies in foreign countries. The Department of Economy and Infrastructure Development of the city cooperates with the Council of Exporters and Investors under the Ministry of Foreign Affairs of Ukraine, periodically updating advertising and presentation materials. The city government cooperates with numerous international organizations and municipalities and has experience in cooperation with both foreign investors and the State Regional Development Fund.

In order to conduct the analytical research, the materials obtained from Kamianets-Podilskyi city council have been used, including: indicators of the social and economic development, statistical data, treasury statements, program materials, other necessary internal information, as well as the information from the public sources, which the Rating agency considers credible.

Municipal department
For more information please contact:
Press service of IBI-Rating
(044) 362-90-84