Lviv IT Arena is a conference specially designed for programmers, designers, developers, top managers, inverstors, entrepreneur and startuppers. Annually it takes place on 2-4 of October in Lviv at the Arena Lviv stadium. In 2015 conference gathered more than 1400 participants and over 100 speakers from companies like Facebook. FitBit, Mail.ru, HP, Epson and IBM. More details about conference at itarene.lviv.ua.

1. IT INDUSTRY
DEVELOPING UKRAINIAN ECONOMY AND TALENT
October 2015

2. INFORMATION & COMMUNICATION TECHNOLOGY
IS THE №3 EXPORT
5bn.
14,3 bn.
17bn.
*http://data.worldbank.org **Horizon Capital Data
The ICT industry is potentially becoming №2 by 2020
due to it’s stable growth
ICT
metallurgy
agricultural sector

3. STABLE TAX PAYMENT
* State Fiscal Service of Ukraine
м
18.1*
bn. UAH (1.52 bn. USD
IT PE revenue)
in 2014
74 000*
IT specialists
in 2015
+88%
tax revenue estimation in 2015 (UAH)

4. Highly Qualified ІT Specialists
COMPETITIVE ADVANTAGE OF UKRAINE
TOP-3
Ukraine is among the TOP-3
in Central and Eastern
Europe by IT market volume
and IT talent pool
27*
Average
age of IT-specialist
5000**
5000 experts left the
country in 2014-2015 рр.
69%*
IT specialists consider relocation
*DOU.ua **Experts’ estimate

5. *DOU.ua ** Experts’ estimate
Highly Qualified ІT Specialists
COMPETITIVE ADVANTAGE OF UKRAINE
180 000
Tech Specialists in
Ukraine by 2020
~20 000**
New highly paid jobs
annually
$2 000*
Average salary
74,000 80,000 90,000 110,000 130,000 150,000
180,000
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
2014 2015F 2016F 2017F 2018F 2019F 2020F

6. • 15% - PE TAX in 2016-2020
• 50% of ITO market works illegally
• Emigration of ІТ-specialists
• Tax shrinks pro rata to revenues
ІТ INDUSTRY
PESSIMISTIC SCENARIO
IT market declines
due to rapid tax
rate growth

7. • Gradual PE tax increase
over 5 years
• 6% PE tax rate in 2016
• 8% PE tax rate in 2017
• 10% PE tax rate in 2018-2020
• ~25% IT growth in 2017-2020
ІТ INDUSTRY
SUPPORTS ECONOMY AND TALENT DEVELOPMENT
IT industry –
economic driver of
the country

8. IT INDUSTRY CONTRIBUTION TO UKRAINIAN ECONOMY
• Forming the investment attractiveness of the
country
• Investors rout funds to Ukraine and
strengthen the economy
• Strong and sustainable growth of the IT
industry
• Industry volume will be 3.2 times up to 7.7
bn. USD by 2020
• 1.5 bn. USD – cumulative tax revenue
(2016-2020)
• 106 000 new IT jobs
Revenue dynamics – optimistic vs pessimistic
1,400 2,000 2,379 2,236
1,118 895 805 765 765
1,400 2,000 2,379 2,617
3,140 3,925 4,907 6,133 7,667
2012 2013 2014 2015F 2016F 2017F 2018F 2019F 2020F
Market capacity MLN USD (OPTIMISTIC SCENARIO)
Market capacity MLN USD (PESSIMISTIC SCENARIO)

9. IT INDUSTRY CONTRIBUTION TO UKRAINIAN GDP
BY 2020
* Estimations include 5% efficiency of ITO staff productivity annually
3.2 times
industry volume
growth up to 7.7
bn. USD*
5.7%
GDP from
ІТО industry in
2020р.
+3.8%
GDP from ІТО
industry over
six years
working in ITO
industry
jobs in other
support
industries
180 000
people*
400 000

10. Contacts
Konstantin Vasyuk, IT Committee
Coordinator, European Business
Association
+38 067 656 08 65
konstantin.vasyuk@eba.com.ua
Victor Valeyev, Director of the «IT Ukraine»
Association
+38 050 352 31 88
office@itukraine.org.ua