MP from the faction “Servant of the People”, Mykyta Poturaev, deputy head of the parliamentary committee for humanitarian and information policy has said that 12,000 catering enterprises out of the 30,000 functioning in Ukraine before the coronavirus pandemic and following economic crisis, were liquidated, Interfax-Ukraine reports.
“According to data provided by HoReCa [hotels, restaurants, cafes / catering – ed.], there were 30,000 catering establishments in Ukraine before quarantine was introduced: from a small cafe/bar to a large restaurant. About 12,000 of these are eliminated. Not quarantined, but being liquidated as enterprises,” the deputy noted.
To Poturaev, 40% of the industry’s businesses may be closed in the near future.
“Perhaps this is due to the fact that we were not able to accept the budget the first time, namely the package associated with the budget. There was an appropriate legislative basis for starting the force majeure procedure. So people could close their businesses because they are not able to fulfill rental obligations,” the parliamentarian said.
Although, some of the liquidated enterprises may return to their activities after the end of quarantine.
“It is possible that one of these 12,000 liquidated enterprises will return, but we don’t know how much of ’em exactly, and this is a problem,” Poturaev summed up.
Read more: Ukrainian Cabinet develops several scenarios to assist business and labor workers amid quarantine.
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