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Ukraine: U.S. Official Comments On Motorola's Departure

Kyiv, 2 April 1997 (RFE/RL) -- Andriy Bihun, the Commercial Attache at the U.S. Embassy in Kiev, says that the main obstruction to investment in Ukraine "is the government which creates an unfavorable climate for investors."

U.S. electronics firm Motorola announced last week it was leaving Ukraine, where it planned to invest some $500 million because of "unfavorable investment climate."

In an interview with RFE/RL yesterday, Bihun said that the Communications Ministry had granted Motorola a license to operate a mobile phone system in Ukraine but later insisted that Motorola apply for permission to use a special frequency. Bihan said that this is not done in any country in the world. He added that once you have a license to operate a system, "this includes the right to use the frequency."

Meanwhile, the state-backed company KyivStar, one of the three winners of a recent tender for cellular frequency licenses, announced it intends to invest $30 million in its mobile telephone network this year.