Ukraine. Thirteen Years of Independence.

On 24th of August 2004 Ukraine celebrates the thirteenth anniversary of its independence. Over
the last years the absence of ethnical and national conflicts, irreversibility of democratic
transformations, active reforming of economic, political and social life have become inalienable
features of state-building processes in Ukraine.
A new stage of internal reform in Ukraine is aimed at securing profound systematic
transformations in the country’s life, corresponding to the standards of a democratic state with
socially-oriented market economy.
Ukraine’s internal development
Over several consecutive years Ukraine’s economy has demonstrated one of the highest growth rates in
Europe. Against the background of stable financial situation the exports are rapidly growing, the Ukrainian
goods strengthen their competitive capacity on the domestic market; the volumes of investments and
construction are growing, as do the volumes of consumption and household income.
The real DGP growth in January - June 2004 reached a record level of 12, 7% (9, 2% last year), the
volumes of industrial output grew by 15,9%.
In the first five months of 2004 the exports of goods increased by 51,3% compared with the same period
last year, the imports – by 32,5%. The foreign trade surplus totalled over $ 2 bln (almost $ 409 m in the
same period in 2003).
Last year Ukraine reached considerable progress in implementation of tax and pension reforms, resumed
the privatisation of big enterprises and improved the legislation in mortgage and land regulation and
crediting. There was established the flat personal income tax rate of 13%; the corporate income tax rate
was also reduced.
As a result of socially-oriented policy of the Government in January-May 2004 the nominal household
income grew by 19, 7%, the real salary by 26, 7%.
Constructive dialogue between Ukraine and the international financial institutions, the implementation of the
external debt payment schedule and the considerable potential of further economic growth resulted in
upgrading of Ukraine’s credit rating by the leading international credit agencies.
Ukraine met in full the FATF requirements on fighting the money-laundering and was excluded from the
organisation’s “black list” in February 2004.
The country’s economic achievements became possible owing to the formation of the coalition
Government and its backing by the parliamentary majority. The prospect of implementation of the
constitutional reform, initiated by the President, which would consolidate the responsibility of the
Parliament for the forming of Government and its policy, is currently being discussed in the country.
One of the key priorities in the Government activity at present is the conduct of free, transparent and
democratic presidential elections in accordance with the national legislation and the European norms and
standards. First of all, it is about creation of equal opportunities for all candidates during the election
campaign and securing the unimpeded activity of independent media.
Foreign policy of Ukraine
During the recent years the necessary mechanisms for implementing the whole complex of measures in the
internal and external policy, that will bring Ukraine closer to integration to the European Union and
NATO, have been created in Ukraine. The course towards European and Euro-Atlantic integration is
based on clear awareness of the Ukrainian national interests and corresponds to the realities of our
country’s development.
During the Ukraine-EU Summit in Hague in July 2004 the parties agreed to continue discussions on the
development of the Ukraine-EU Action Plan. The document, as both the Ukrainian side and its EU
partners are convinced, should build upon the principles of joint ownership, differentiation and added
value. Ukraine confirmed its interest in adoption of such a plan, which would define specific steps of each
side, contain specific tasks and obligations and will be aimed at securing real positive achievements for
Ukrainians and qualitatively improve the relations between Ukraine and the EU.
The Ukraine-NATO Commission Summit in Istanbul confirmed the strategic character of relationship
between Ukraine and NATO, and the principal support by the NATO countries of Ukraine’s course
towards integration into the Euro-Atlantic security structures. It also recognized a significant progress in
implementation of the Ukraine-NATO Action Plan and annual Target Plans, underlying the intention to
further pragmatic cooperation.
Ukraine took responsible position towards the Iraqi issue, the participation in Stabilization Force and the
rebuilding of the country. Starting from September 2003 the 1800-strong Ukrainian peacekeeping
contingent carries out its mission in Iraqi Vasit province, maintaining security in this part of the country,
delivering Humanitarian Aid to its inhabitants, being actively involved in infrastructure reconstruction.
Ukraine remains one of the most active countries in preserving peace and security in the hot spots around
the globe: at present it is represented by over than 1400 peacekeepers in 9 UN peacekeeping operations.
During the last year the progress in completion of the legal procedure of the boundary delimitation of
Ukraine was achieved. Treaties between Ukraine and Russia on the Ukrainian-Russian State Border and
on cooperation in use of the Azov Sea and Kerch Strait were signed and ratified. A long negotiating
process was completed by signing the Treaty on the Ukrainian-Romanian State Border. Transition to a
new stage of preparation the agreement on delimitation of the continental shelf and exclusive economic
zones of Ukraine and Romania in the Black Sea has been secured.
Ukraine gradually and confidently moves on the way towards joining the World Trade Organization. On
the whole Ukraine has signed 24 bilateral protocols with the WTO member-states.
Ukraine made its contribution to the international efforts on protection of environment by ratification of the
Kioto Protocol by the Parliament of Ukraine in February 2004.
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The global changes in the architecture of European cooperation, connected, in particular, with the EU and
NATO enlargement, demand from Ukraine the intensification of its foreign policy and pragmatic upholding
its national interests on the international arena.
Ukraine will continue to give priority importance to the European and Euro-Atlantic integration, the
integration into the world economy, strengthening its position on the external markets, strengthening of
regional stability, development of bilateral relations with neighboring countries and its strategic partners.
Ukraine sees its main task at present in consolidation of European values and standards in a politics,
economy, and social sphere, regarding it as a pledge of its social stability and sustainable development.
At the same time a considerable attention in Ukraine’s foreign policy is paid to the development of friendly
relations and fruitful cooperation with the countries of South East Asia. The diplomatic presence of
Ukraine in this region has considerably increased since 2002 after a number of the Ukrainian diplomatic
mission has been established here – in Malaysia, Thailand, Singapore and Brunei Darussalam.
The Embassy of Ukraine in Singapore (concurrently in Brunei Darussalam) has been opened in January
2003. Since that time the traditionally friendly bilateral relations between the two countries have been
steadily developing, the trade balance has a stable growing tendency: from USD 142,3 mln in 2001 upto
USD 374,1 mln in 2003. The 2004 statistics witness even more increase – by July the turnover reached
the mark of USD 266.5 mln, which is 10 % higher comparatively to the same period last year.
A number of issues of common interest between the two countries are being worked out this year in the
fields of higher education, military & technical cooperation, air & space industry, etc.
In May 2004, Mr. V. Piatnytsky, First Deputy Minister of Economy & European Integration of Ukraine
has paid a visit to Singapore and had a fruitful meeting with Brig-Gen G. Yeo, the then Minister of Trade
& Industry.
After that another visit of Prof. M. Zgurovsky, Rector of the National Technical University of Ukraine
“Kyiv Politechnical Institute” took place. This visit laid legal basis for the development of cooperation
between one of the world-known Ukrainian universities with NUS and NTU.
* * *
The beginning of 2004 has been marked with the new page in the history of bilateral relations
between Ukraine and Brunei Darussalam.
On March 8-9, 2004 at the invitation of His Majesty Sultan Haji Hassanal Bolkiah Mu’izzaddin
Waddaulah, the Sultan and Yang Di-Pertuan of Brunei Darussalam, His Excellency Leonid
Kuchma, the President of Ukraine paid his first-ever State visit to Brunei Darussalam.
Both Sides have confirmed existence of vast potential for the development of fruitful cooperation
between the two countries and agreed to continue working out the ways of enhancing interaction
in the spheres of trade, education, tourism and investments.
Moreover, within a comparatively short time His Majesty Sultan Haji Hassanal Bolkiah returned
the favor and paid his State visit to Ukraine on June 17-20, 2004.
As the result of this visit the Sides have signed a number of important bilateral agreements and
made public the Joint Statement.



Since December 2002!
Embassy of Ukraine in the Republic of Singapore
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Посольство України в Республіці Сінгапур
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