Kiev. 7 October. Lviv City Council, the Foundation for Effective Governance and the leading international consultancy Monitor Group have signed a tripartite cooperation agreement. The document will serve as the framework for the parties to launch Lviv economic development project.

“This is the first time Ukraine has been implementing the projects of this kind”, said Nataliya Izosimova, Managing Director of the Foundation, at the agreement signing ceremony. – Just like other projects of the Foundation, it targets to develop the economy of the country and improve welfare of Ukrainian citizens.”

Project implementation process will be supervised by International Advisory Board chaired by former Canadian Prime Minister Kim Campbell. Mrs Campbell arrived to Lviv to attend the ceremony. She believes the project for city economic development is fully in line with the mission of the Foundation and targets to boost economic growth of Lviv and improve competitiveness of the city.

“Under the agreement signed we start cooperating with the Foundation for Effective Governance and Monitor Group to boost competitiveness of Lviv. Our partners have tools that will help clearly identify city development priorities and make a successful progress,” stated Mayor of Lviv Andrey Sadovoy at the agreement signing ceremony.

The project will be realized within 8-12 months. To implement it, the Foundation for Effective Governance invoked the leading global expertise. In particular, the top international management consultancy Monitor Group was engaged after a tender. This company has developed economic development strategies in 58 countries.

The project for economic development will have two stages. Stage 1 will last 5-6 months and see a deep analysis of the city economy, set priorities for economic development and identify competitive clusters. (Cluster means interconnected businesses and associated institutions in a particular region that are involved in one business area). The cluster approach is the best way to improve competitiveness of economies. It will help identify investment opportunities. After that, the Foundation for Effective Governance and Monitor Group will suggest the strategy for economic development of the city.

Stage 2 will last 3-6 months and develop a detailed action plan to realize the strategy of economic development of Lviv.
The project launch follows an in-depth study of competitiveness of 27 Ukrainian regions implemented by the Foundation for Effective Governance in tandem with the World Economic Forum (WEF). After a number of meetings and roundtables with representatives of local governments the Foundation and Monitor Group chose Lviv as it is the growth engine of the western part of Ukraine and can influence the economic development of the whole country. The city has a well-developed infrastructure in transportation, finance and education as well as the basis for development of service sector, tourism and light manufacturing. However, the “brain drain” of skilled professionals and the deficit of investment hamper development of Lviv. “From Lviv Economic Forum we’ve seen that local government takes all the efforts to improve competitiveness of the city,” said partner of Monitor Group Andrew Swart. – “There is a firm commitment on its part to carry out systematic and efficient work and implement a long-term strategy that will drive the growth of the local economy. This is particularly important as the city is one of the hosts for the 2012 UEFA European Football Championship."

Profile

Foundation for Effective Governance
The Foundation for Effective Governance (www.feg.org.ua) was established in 2007 by Ukrainian businessman, Rinat Akhmetov with a mission to develop and implement long-term projects and programs which encourage the long-term economic development of Ukraine. The Foundation is committed to help reach public and political consensus on the key areas of the economic transformation programs.

To achieve the objective the Foundation involves the leading Ukrainian and international experts with impeccable reputation. The International Advisory Board, which includes prominent public and political figures from different countries, ensures the Foundation’s independence. Among its board members are former Canadian Prime Minister Kim Campbell; former U.S. Senator Lincoln Chafee; former president of the National Bank of Hungary György Surányi; as well as Managing Director of Morgan Stanley’s Office in Kiev Ihor Mitiukov. The International Advisory Board takes an active part in building the Foundation’s strategy, selecting the priority projects, and representing FEG both inside and outside Ukraine.

Monitor Group
International Consulting Company Monitor Group (www.monitor.com) works with the world’s leading corporations, governments and social sector organizations to drive growth on the issues that are most important to them. The firm has extensive expertise in regional economic competitiveness and has worked on over 175 projects in 58 countries the last 20 years to analyze and develop economic development strategies in regions and countries around the world.
Founded in 1983 by six entrepreneurs, including Harvard Business School Professor Michael Porter, Monitor is aimed to solve the toughest problems to ensure sustainable growth. Headquartered in Cambridge, Massachusetts, the firm employs over 1,500 people in 22 countries worldwide.

Dear colleagues, for any additional information please, contact: Inna Gordienko, PR-Director of the Foundation for Effective Governance
Tel.: (+38 044) 501-41-07
Mobile (+38 095) 270-59-60
E-mail: igordienko@feg.org.ua