Ukraine continues negotiations with partners to attract additional funding for insuring investors' war risks. This matter was discussed during a meeting between Yuliia Svyrydenko, First Deputy Prime Minister and Minister of Economy of Ukraine, and Hiroshi Matano, Executive Vice President of the Multilateral Investment Guarantee Agency (MIGA).

“Ukraine now needs to unlock the inflow of private investment. However, it is widely recognized that without reliable instruments for insuring military risks, we will not witness an active influx of investments. Therefore, during the meetings of the Multi-Donor Coordination Platform, we will consistently raise the issue of accumulating additional resources to enhance funding for war risk insurance programs. This year, MIGA has already implemented two projects on war risk insurance in the real sector and two more in the financial sector. They are also actively working to secure additional funding from five countries by the end of the year. We have reached an agreement to establish a working group aimed at expediting and optimizing the investor insurance process,” said Yuliia Svyrydenko.

According to her, there has been significant progress recently in expanding insurance coverage for businesses. MIGA recently approved a ten-year insurance package worth USD 9.1 million for the M10 industrial park project in Ukraine's Lviv region. This insurance agreement is partially financed by donor countries through the Support to Ukraine's Reconstruction and Economy (SURE) Trust Fund, under the supervision of MIGA.

“It is extremely important to change the perception of Ukraine as a continuously high-risk zone. One potential solution is to create a special trust fund aimed at launching global insurance and reinsurance of military risks. This fund could be jointly managed by the governments of partner countries in cooperation with Ukraine,” said Yuliia Svyrydenko.

In addition, European export credit agencies are actively working to insure their companies' investments. Ukraine encourages the provision of investment insurance coverage to its companies when establishing joint ventures with foreign partners.

“Investment insurance can boost the confidence of foreign companies in this type of cooperation. This, in turn, should contribute to economic growth and the creation of new jobs,” Yuliia Svyrydenko continued.

The Ministry of Economy of Ukraine is working to consolidate investment projects in key sectors of the economy and already possesses a database of projects that fully meet the requirements of international financial institutions. These projects will be submitted for consideration to international ECAs and other capital market players.

“One of the main tasks of the Government this year is to support the private sector of the economy without waiting for the end of the war. Together with our international partners and financial institutions, we are working on creating the War Risk Reinsurance Fund. This initiative aims to attract major private reinsurers, international, and Ukrainian insurance market operators. It will serve as an extension of the instruments of DFC, MIGA, and national export credit agencies,” concluded Yuliia Svyrydenko.