Investment risk insurance plays a pivotal role in creating a favourable business environment in the country, attracting private capital, and supporting long-term reconstruction projects. Currently, the Ministry of Economy of Ukraine, in collaboration with Advantage Ukraine, is actively engaged in negotiations with export credit agencies (ECAs) of partner countries. The emphasis is on the importance of providing 100% insurance risk coverage.

Deputy Minister of Economy of Ukraine, Volodymyr Kuzio, made these remarks during his speech at the 5th EU ECA Summit, where the heads of the largest European export credit agencies convened to discuss strategic investments in Ukraine.

"We are urging ECAs to expand their support for projects in Ukraine. Additionally, offering investment insurance to Ukrainian companies engaged in joint ventures with foreign partners can bring significant benefits to business activity in Ukraine. Currently, we are in the process of identifying potential investment projects in key sectors of the economy. Some of these projects are already under consideration by ECAs, international organizations, and development finance institutions (DFIs and IFIs)," stated Volodymyr Kuzio.

According to him, considering the significant progress in Ukraine's economic recovery and the positive macroeconomic outlook for 2024, a proposal was submitted to the Organisation for Economic Co-operation and Development (OECD) to reclassify Ukraine's country risk group. The proposal suggests moving Ukraine from the seventh group back to the sixth group. This holds importance in the context of investment risk insurance because the premium rate largely depends on the country's classification group. For instance, shifting from Group 7 to Group 6 can halve the premium rate, significantly reducing the cost of equipment and facilities needed by Ukrainian companies to participate in the reconstruction process. Concurrently, we anticipate that local production will increase significantly with insurance support for Ukrainian investors.

During the Summit, EU ECA leaders expressed their appreciation for the Ministry of Economy's active participation and announced the development of a joint risk insurance strategy for Ukraine. They also expressed readiness to conduct quarterly meetings with the Ministry of Economy to discuss the progress in cooperation.