Investing in Ukraine: new opportunities and guarantees

Russia's war against Ukraine has undoubtedly made adjustments to the country's investment climate. However, the Ukrainian government is taking decisive measures to overcome these challenges and attracting foreign investment.

What guarantees does Ukraine offer to investors?

• Protection of foreign investments regardless of ownership.
• Guarantees from:
  • Changes in legislation.
  • Forced removals.
  • Illegal actions of state bodies.
  • Obstacles in the transfer of income, profits and other amounts.
• Investment insurance against war risks:
  • Since 2024, a law on insurance of investments in Ukraine against war risks has come into force.
  • The Export Credit Agency (ECA) insures and reinsures military and/or political risks of financial losses of Ukrainian and foreign investors, if they are related to investments in the creation of facilities and
  • By the end of March 2024, the Cabinet of Ministers and the NBU will determine expanded list of military risks and insurance conditions.
• State support for investment projects:
  • Law of Ukraine "On State Support for Investment Projects with Significant Investments in Ukraine".
  • Support is provided to projects in the following areas:
    • Processing industry.
    • Mining and processing of minerals.
    • Transport.
    • Logistics.
    • Health care.
    • Others.
  • Minimum investment amount: equivalent to 12 million euros.
  • Maximum implementation period: 5 years.

Investment guarantee opportunities from international organizations:

• American Development Finance Corporation (DFC):
  • Political risk insurance up to $1 billion.
  • Support for private sector entities.
  • Preferred sectors: energy, healthcare, infrastructure, agriculture, financial services.
  • DFC has already supported a number of projects in Ukraine worth over $400 million.
• Multilateral Investment Guarantee Agency (MIGA):
  • Insurance and reinsurance of political and military risks.
  • Support for international investors only.
  • Project requirements:
    • Compliance with environmental and social standards.
    • Availability of audit reports according to international standards.
    • ESG reporting.
    • Analysis of business plans.
  • MIGA has already insured the first investment project in Ukraine against war risks – M10 Industrial Park in Lviv.

Investing in Ukraine is an opportunity:

• Support the Ukrainian economy in difficult times.
• Gain access to promising markets.
• Take advantage of favorable conditions and guarantees.

Despite the war, Ukraine remains an attractive place to invest. The government is taking decisive measures to creating a favorable investment climate.

We invite you to join us in investing in Ukraine!

Source: inventure.com.ua