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Rating was conducted by Forbes Ukraine following the data presented by executive committees of city councils, the State Statistics Committee, Ministry of Education and Science of Ukraine, companies and GT Partners "Geo-M" and thus reflects the attractiveness of Ukrainian cities for companies operating on the consumer market. The study analyzed 25 social and economic indicators for 25 regional centers and cities with population over 200 thousand - Kremenchug, Kryvyi Rig and Bila Tserkva. The rating does not cover the city of Kiev as capital of Ukraine and this time it excluded Poltava, which authorities has not provided the information requested by Forbes. The presence of the international airport brought an additional score in the ranking.

The rating was based on such factors as human capital, purchasing power, business climate, economic stability, infrastructure, and business health.

The top three best cities for doing business in Ukraine are the top three largest (after the capital) regional centers - Odessa, Lviv and Kharkiv. Ivano-Frankivsk occupies the 9th position, and another city in the Western Ukraine - Uzhgorod - took the last 25th place.

According to the scores, the position of Ivano-Frankivsk is as follows.

Value of human capital was measured by actual population, crime, education of the population by the number of state universities III-IV level of accreditation, net migration etc. By these measures, Ivano-Frankivsk ranks the fourth (19), and follows the top three winners of the ranking (the most scores were granted to Kharkiv - 22 points).

The purchasing power was based on the level of welfare (average salary) and the proportion of rented apartments at a price more than 175 USD per m2 in the second half of 2014, by which Ivano-Frankivsk scored 6 points (the highest figure - 12 - belongs to Dnipropetrovsk).

Business climate index relied on revenues from unified tax and direct foreign investments in 2014 per capita. The leading position here belongs to Kryvyi Rig (9), Ivano-Frankivsk scored 6 points, and for example another regional center in the West, the city of Lutsk, took the last position being granted by only 3 points.

Economic stability reflects revenues to the city budget, the number of new buildings and grocery stores in dynamics (2013-2014). By these indicators, the cities of Odessa, Kharkov and Zaporizhia took the biggest number of points (13), while Ivano-Frankivsk was granted by 9 points.

For infrastructure development, including presence of an airport, road infrastructure, bank branches, shopping centers and other facilities affecting the comfort of life of residents, city of Ivano-Frankivsk scored 12 points. The lowest by this indicator was Bila Tserkva (6), and the highest (21) belongs to the port of Odessa. Profitability of this city, as Forbes indicates, increased after the annexation of the Crimea - the city received a considerable part of the peninsula sea freight (in 2015 exports of goods to the Odessa area increased by 41.6%). Odessa will become richer with the start of the holiday season (for obvious reasons).

And the last ranking measure is an indicator of business health that displays the number of closed in 2014 and the first quarter of 2015 shopping centers, bank branches, pharmacies and other facilities affecting the comfort of life of residents. It should be noted that in this category Ivano-Frankivsk scored 19 points, higher than Odessa and Lviv - winners of ranking (these cities were granted by 18 points). Cities of Chernihiv and Mariupol, according to the results of the rating, the business health was estimated by 20 points.

The head of the analytical company "Geo-M" Maksim Zinchenko said, in all cities participating in ranking, one can see the decrease of income per capita, but on the other hand, "... cities that are historically close to the European Union (including Ivano-Frankivsk - RCID), where traditionally are many "workers abroad", feel better. Also relatively stable are the cities where minerals are extracted for export. "

The article was based on Forbes Ukraine materials.

 



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