Bila Tserkva, Lviv and Khmelnytskyi Lead in Investments and Economic Development Transparency of 100 Largest Ukrainian Cities in 2019

14.04.2020
Bila Tserkva, Lviv and Khmelnytskyi Lead in Investments and Economic Development Transparency of 100 Largest Ukrainian Cities in 2019

In 2018, Transparency International Ukraine assessed the investment sector transparency of 100 largest Ukrainian cities for the first time. The first research showed that the average score of investment transparency was just 22%. The analysts verified such indicators as the existence of anti-corruption programs, information on inspections of municipal enterprises, the availability of the city investment passport, etc.

In 2019, the City Transparency Ranking and the Investment Sector Transparency Ranking were combined. Thus, the 14th accountability area was added to the primary ranking, Investments and Economic Development. The sphere consists of 13 indicators which can earn cities a total of 16 points.

What have the cities been able to achieve in this sector and what are the least transparent indicators? Read on.

Main Indicators of Investments and Economic Development Transparency

  • the average score in the sphere is just 34%, i.e., just about one in three indicators has been met;
  • the most transparent regional capitals are Lviv (87.5%), Khmelnytskyi (83.3%), Vinnytsia (79.1%) and Kyiv (79.1%);
  • the most transparent small city is Bila Tserkva, which is leading the sphere with the score of 15.75 out of 16 points (98.4%);
  • Kamianske, Pokrov, Kryvyi Rih and Bakhmut have all scored above 10 out of 16;
  • the least transparent cities in the sphere are Chervonohrad, Pavlohrad, Myrnohrad, Netishyn and Posilsk.

City councils have been reluctant to publish contact information of executive committee members, current regulatory acts; nor do they seem to be interested in publishing the information on the city’s credit rating.

On the other hand, most city councils publish draft regulatory acts in a timely manner; they have also adopted and are funding entrepreneurship support programs. In addition, city council websites usually contain information on the cooperation with international technical assistance projects and international organizations.

Analysis of indicator fulfillment:

Indicators met by most cities                                      Indicators not met by most cities

D01 
Are open public events held to discuss draft regulatory acts and is information on the course of the events published (such as minutes or a transcript), are the results published following the public event regarding the inclusion or exclusion of proposals for, and comments on, draft regulatory acts?

Only 20 cities out of 100 have gotten the maximum score for this indicator. Three of them are in Dnipro oblast, and there are two in Donetsk, Luhansk and Ivano-Frankivsk oblast each.


D02
Are draft decisions of the city council's regulatory acts published on the official website within the time limit prescribed by the law?

This is one of the most commonly fulfilled indicators, with 71 cities getting the maximum score. They include 8 cities of Kyiv oblast, 7 cities of Dnipro oblast, followed by Donetsk, Zaporizhzhia and Sumy oblasts. Central and Eastern Ukraine are clearly in the lead here.


D03
Are draft decisions of executive committee's regulatory acts published on the official website within the time limit prescribed by law?

68 cities out of 100 have received the maximum score, with most of them in Kyiv, Dnipro, Poltava and Sumy oblasts.

 
D04
Are effective regulatory acts of the city council and its executive agencies published on the council website or a different specialized resource?

This indicator proved to be one of the most challenging, with only Bakhmut, Bila Tserkva, Kamianske and Lviv scoring the maximum number of points.


D05
Is there a separate section on the website in Ukrainian and in English for work with investors, and is the community's investment passport published in both languages?

28 cities out of 100 have gotten the maximum score, including three cities from Dnipro, Khmelnytskyi and Chernihiv oblasts each.

D06
Is information on investment projects suggested by municipal authorities published on the official website regardless of the form of ownership?

Most cities have managed to do this, with Dnipro and Donetsk oblasts in the lead.

D07
Are there members of the executive committee who are entrepreneurs and representatives of the commercial sector, and is their contact information published on the website (telephone number, email, photo, address)?

Only 9 cities have gotten the maximum score here, mostly in Donetsk and Khmelnytskyi oblasts.


D08
Is the city connected to an official platform helping individuals to start their business?

21 cities out of 100 have gotten the maximum score, with as many as for in Dnipro oblasts and two in Donetsk and Lviv oblasts each.

 

D09
Is information published regarding collaboration of local self-government authorities with international technical assistance projects and international organizations?

62 cities out of 100 have gotten the maximum score. Donetsk oblast can boast of as many as 7 leaders, while Dnipro and Zhytomyr oblasts have 4 each.


D10
Is information published regarding the assessment of the city's credit rating?

Only 24 cities have held this assessment, with most of them in Kyiv, Zaporizhzhia and Dnipro oblasts.


D11
Are indicators assessing the effectiveness of the implementation of the city strategy published on the official website in a clear and understandable format?

Even though this is one of the more challenging indicators, 23 cities managed to meet it.

D12
Has the city council approved a program of support and development of entrepreneurship, and is it funded?

As many as 65 cities have gotten the maximum score, with 8 of them in Donetsk oblast and 6 in Zaporizhzhia oblast.


D13
Has the city council made the decision to introduce electronic auctions for sales of rights for placement of seasonal trade?

While the indicator is not too difficult, only 8 cities have accomplished this.

 

How Can Cities Improve the Sphere?

  1. Analyze their results and identify the indicators they need to fulfill.
  2. Use the best practices kit. You can improve your scores with less effort if you follow in the footsteps of the cities which are in the lead.
  3. If needed, get in touch with Transparent Cities analysts for advice.