"Last week, Ukraine signed a new deal on air transportation, which completely liberalized the market between the two countries. After that, aviation authorities of Italy (ENAC) offered authorization for Wizz Air routes," Wizz Air reports.
The outlet wrote that the open skies mode was initiated by Ukraine's State Aviation Service in 2015. The government could allow any air company to conduct their flights any route. However, in January 2020, the aviation authority of Italy informed Ukraine that these country's air companies have been enjoying enough rights for their routes. The Italian side explained that they wanted to expand the local aviation market and get more taxes to the local budget.
This, in fact, became a sort of red light for issuing new licenses for routes; this is why Ukraine's State Aviation Service began to decline SkyUp's application, as the company wanted to expand its presence on the market of flights between Ukraine and Italy.