The World Bank's Multilateral Investment Guarantee Agency (MIGA) has issued its inaugural investment guarantees for private investors in Ukraine. These agreements encompass insurance coverage of up to $9.1 million for the M10 Industrial Park project located in Lviv.

The guarantee applies to investments and financing secured for the construction and operation of a warehouse complex and related infrastructure within the M10 Industrial Park.

This insurance provides coverage for war-related risks over a 10-year period.

These initiatives will foster the development of new industrial and logistics infrastructure, expand warehouse capacity, and, in turn, contribute significantly to the economic growth of the region during both wartime and the country's recovery following the victory.

"The guarantees provided by MIGA send a positive signal to potential new investors considering Ukraine as an investment destination. This move opens up opportunities for business development and the establishment of production chains across various regions of Ukraine. We remain dedicated to supporting and facilitating war risk insurance programs for Ukraine's private sector. We believe that, through close collaboration with donors and the international financial community, both Ukrainian and foreign companies will have the opportunity to apply for and receive these new guarantees," stated Yuliia Svyrydenko, First Deputy Prime Minister of Ukraine and Minister of Economy.

The project, insured by MIGA, will play a crucial role in supporting Ukraine's economic growth amidst ongoing challenges. It will generate new employment opportunities and contribute to tax revenues at various levels of government. Furthermore, the project is on track to receive green building certification.

"We take great pride in supporting Ukraine during this significant economic and humanitarian crisis resulting from the Russian invasion," remarked Hiroshi Matano, Executive Vice President at MIGA. "Our commitment lies in attracting foreign direct investment to Ukraine and catalysing the country's post-war recovery."

"We appreciate MIGA for its support of Ukraine and our green investment in M10 Industrial Park in Lviv," said Tomas Fiala, CEO at Dragon Capital, which holds a 65% stake in UIPH. "Broad access to guarantees is a key factor in increasing foreign direct investment in Ukraine during times of conflict. We also emphasize the vital role played by the Office of the President of Ukraine and the Government of Ukraine in maintaining stable macroeconomic conditions and fostering a conducive environment for new investments."

MIGA's guarantee sends an important signal to international investors to expand their war risk insurance activities in Ukraine.