In the near future, the Canadian Parliament is expected to ratify the updated Free Trade Agreement between Ukraine and Canada. To make the most of the new opportunities for private business in both countries, early next year, a Canadian business mission will arrive in Ukraine with concrete proposals for investment in Ukraine’s economy and post-war recovery. This was agreed by Yuliia Svyrydenko, First Deputy Prime Minister – Minister of Economy of Ukraine, and Mary Ng, Minister of Export Promotion, International Trade and Economic Development of Canada, during a video conversation.
“It is an important priority for us to strengthen trade and economic ties between the two countries within the framework of the updated Ukraine-Canada Free Trade Agreement. I invite the Canadian business community to participate in the reconstruction of Ukraine. Private investors now have a unique opportunity to lay the groundwork for launching their businesses before the country wins the ongoing war. Our strategic sectors are defence, agricultural production and processing, renewable energy, gas production and storage, green metallurgy, export logistics and IT. Ukraine needs foreign investment because it has the greatest multiplier effect on the economy,” Yuliia Svyrydenko said.
According to First Deputy Prime Minister – Minister of Economy of Ukraine, in order to protect private investment, the Government is currently working with international partners and financial institutions to create the War Risk Reinsurance Fund, which will help revive the market for large private reinsurers as well as international and Ukrainian insurance market operators. Ukraine also looks forward to deepening its cooperation with Export Development Canada (EDC) on war risk insurance. Ukraine encourages EDC to provide insurance coverage for investments in joint ventures established by Ukrainian and Canadian partners.
“I would also like to invite the Business Development Bank of Canada to join the business mission that is planning to visit Ukraine. This financial institution can start financing the Ukrainian private sector, government agencies and municipalities. Our priority is to establish close contacts between Ukrainian and Canadian private business. And I see good prospects for such cooperation as Ukraine begins to recover economically,” Yuliia Svyrydenko continued.
The Government is currently paying special attention to the development of the processing industry, as the export of agricultural products by sea remains limited. Therefore, the experience of Canadian companies specializing in food processing of agricultural products has good prospects for implementation in Ukraine.
“Ukraine must seek all alternative and predictable export opportunities that will ensure the sustainable development of its agro-processing industries. I look forward to continuing our cooperation with Canada and to involving Canadian businesses even more in Ukraine’s recovery,” Yuliia Svyrydenko said.
During the conversation, she also thanked her Canadian counterpart for supporting the Ukrainian Armed Forces with air defence systems, electronic warfare equipment and military drones.
The parties also discussed the need to create a legal framework for the use of russian assets for the reconstruction and restoration of Ukraine.
On 22 September, President of Ukraine Volodymyr Zelenskyy and Prime Minister of Canada Justin Trudeau signed an updated Free Trade Agreement between Ukraine and Canada.
The Agreement is expected to enter into force either upon ratification by both parties or on 1 January 2024, whichever comes first.