Economy

Russian oil giant Lukoil has written off its investments in overseas assets in full after falling foul of US sanctions. At the end of 2025, the company recognised an impairment loss of 1.67 trillion roubles, or $19.8 billion, and instead of a profit, reported a net loss of 1.06 trillion roubles.

In Ukraine, gas prices for households may be revised in 2026 due to losses in domestic production following Russian attacks and a sharp rise in gas prices across Europe. According to financial analyst Andriy Shevchyshyn, Naftogaz will need to find tens of billions of hryvnias to cover the shortfall.

The Ministry of Finance has presented a single tax bill that brings together Ukraine’s commitments to the IMF. The document provides for the mandatory registration of certain sole traders as VAT payers, new rules for taxing income from digital platforms, changes regarding parcels, and a new approach to the military levy.

In the unrecognised region of Transnistria, a state of economic emergency is being reinstated following yet another cut in natural gas supplies.

A series of attacks on energy infrastructure in Qatar, Saudi Arabia, Kuwait and the UAE has marked a new phase in the escalation of the war. Damage has been reported at oil refineries and gas facilities.

The attacks on the Ras Laffan complex in Qatar and the restrictions in the Strait of Hormuz are already affecting the global liquefied natural gas market. Asian countries are feeling the impact most acutely, but a protracted crisis could also hit developed economies.

European Commission President Ursula von der Leyen has stated that the European Union will find a way to provide Ukraine with a €90 billion loan, despite Hungary’s opposition. She made this statement following a summit in Brussels, where EU leaders failed to persuade Hungarian Prime Minister Viktor Orbán to change his position.

The Cabinet of Ministers has adopted a resolution on the launch of the eFood pilot project – the Unified State Electronic System for Food Safety and Consumer Protection.

Danylo Getmantsev, Chair of the Tax Committee of the Verkhovna Rada of Ukraine, has stated that he is dissatisfied with the pace of the fight against the shadow economy. According to him, the state budget is set to fall short by more than 30 billion hryvnias in 2025, and the reserve allocated for combating the shadow economy has either not been used at all or has not been fully utilised.

Due to the sharp rise in oil prices, some airlines have started cancelling flights. Meanwhile, passengers are rushing to book tickets at the old prices, which has led to a surge in demand.

Since the start of the war with Iran, around 90 vessels, including oil tankers, have passed through the Strait of Hormuz. Despite restrictions on traffic, Iran continues to export oil.

EU experts have arrived in Ukraine to assess the condition of the Druzhba oil pipeline following its shutdown in January due to damage caused by a Russian strike. Naftogaz has stated that the technical team will assist in assessing the restoration of the infrastructure and the return of oil transit to European safety standards.