Metinvest has paid over UAH 45 billion in taxes since the start of the full-scale war

Since the beginning of the full-scale invasion, Metinvest Group has paid more than UAH 45 billion in taxes and fees to the budgets of all levels. Despite the difficult circumstances, the company is adapting and remains one of the largest taxpayers in Ukraine.

According to an article by delo.ua, in 2021, Metinvest paid UAH 52.7 billion in taxes to the country’s budget. After the full-scale invasion, the amount was expected to drop to UAH 20.5 billion in 2022 and to UAH 14.6 billion in 2023.

The decrease in taxes paid is due to many factors, including problems with asset utilization, the sea blockade, the loss of control over assets in Mariupol and the shutdown of Avdiivka Coke. Other factors include ongoing shelling, logistical constraints, electricity shortages and staff shortages.

In the first half of 2024, Metinvest increased its tax payments by 1.5 times to UAH 10 billion, which indicates that the situation has stabilized despite the challenges the company is facing.

The largest payments for the first six months of the year were subsoil use fees (UAH 2.9 billion), unified social contribution (UAH 1.8 billion) and personal income tax (UAH 1.7 billion). The unified social contribution increased by 19% y/y as the company officially employs its employees, regularly indexing and raising salaries.

“This is a significant contribution to the country’s development, which is especially important in the current situation in Ukraine. The taxes received from white salaries, in particular, allow the state to allocate the necessary funds to the Armed Forces to fulfill their tasks, primarily to ensure the country’s defense capability,” comments Tatyana Petruk, Director of Sustainable Development and Human Resources at Metinvest.

In addition, the company’s assets in frontline cities generate taxes to local budgets. For example, in 2023, the company’s enterprises paid more than UAH 261 million in taxes to the Pokrovsk community, which is one third of all tax revenues to the local budget.

The gradual recovery of activity and adaptation to new conditions give grounds to predict positive dynamics of payments in the future.

“Metinvest has overcome many challenges during the war. Many trials are still ahead. Our efforts to adjust our business to the new environment and our ability to turn problems into opportunities have paid off – tax payments are growing. This is our contribution to supporting the economy of Ukraine and the regions near the frontline where the company’s enterprises operate,” said Yuriy Ryzhenkov, CEO of Metinvest.

As GMK Center reported earlier, Metinvest was included in the list of honest taxpayers in Ukraine as part of the Oboz.ua project “Support the honest”. Since its inception, the company has adhered to the principles of transparency and responsible business conduct, and this is especially important now, in the context of a full-scale war.