From the Retail sector perspective Ukraine is considered a major place for investments. We expect that once Romania and Bulgaria will be full member of the EC, Western retailers will look further East. Therefore Ukraine together with Russia (and India) is recognized as being the most interesting emerging markets as far as Retail is concerned.

The 2004 A.T. Kearney Global Retail Development Index saw Ukraine at 11th place. Ukraine has the sixth higest time preassure score in the Index (the higher the time pressure, the sooner a retailer should enter the market). Ukraine was not assigned to the ‘on the radar screen’ only due to political uncertantly before elections.

Ukrainians represents approximately 9% of the total population of Europe. Only Kiev’s actual population is 3.7 mio (suborbs and tourists inclusive).

Being the capital of Ukraine, Kiev is the entry point for most foreign investors and the most powerful consumer market in the country (accounts for up to 17% of the national retail trading volumes).

Continued growth of Ukrainian retail turnover (up to 20% p.a.), increasing real wages and the purchasing power of the population supported high interest in retail premises by market operators.

Regional markets such as Donetsk, Kharkiv, Odessa, Dnipropetrovsk looks very attractive and relatively underdeveloped.

Estimated size of Kiev food retail market is USD2.7billion.

Estimated Ukrainian food & beverage retail market is USD22 billion.