The Government approved the Procedure for the Use of Funds Provided for in the State Budget to Provide State Support for the Implementation of Investment Projects with Significant Investments (over EUR 12 million). The relevant decision was made at a meeting of the Cabinet of Ministers of Ukraine on 26 April 2024.

"Attracting investment in the economy is a key condition for the country's reconstruction and development. That is why we continue to work on creating the necessary tools to ensure that they come in: access to project finance, risk insurance and loan guarantees. This list now includes thr Government support for investors. Budget funds will be allocated for full or partial compensation of the cost of engineering and transport infrastructure built by the applicant or investor with significant investments, as well as the costs of connection and attachment to engineering and transport networks necessary for the implementation of relevant investment projects. That is, if an investor has built a road, conducted water, gas or electricity to his plant or other investment object, he will be able to receive compensation from the state," explained Yulia Svyrydenko, First Vice Prime Minister of Ukraine, Minister of Economy of Ukraine.

According to her, UAH 3 billion has been budgeted for this programme this year. The total amount of support is up to 30% of the investment. State support will be available to investors who plan to implement a project in Ukraine worth at least EUR 12 million and lasting up to 5 years in the processing industry, extraction of minerals for further processing or enrichment, transport, logistics, education, research, healthcare, waste management, art, culture, tourism, sports, electronic communications.

At the same time, the Government will monitor investors' compliance with the terms of the agreement. If the Ministry of Economy determines that the amount of significant investment is less than EUR 12 million based on the register of investment projects with significant investments, the investor must return the entire amount of compensation received to a special registration account of the Ministry of Economy within one month.

If the state financial control authorities establish the fact that the investor has unlawfully received compensation or partial compensation, the investor shall also return the entire amount of compensation received within one month.

As a reminder, when implementing investment projects with significant investments, investors can receive several types of support from the state, which amount to up to 30% of the total amount of such an investment project. In particular:

• pre-emptive right to use land plots of state or municipal property;
• compensation for the costs of construction of engineering and transport infrastructure facilities and costs of connection to engineering and transport networks;
• tax benefits;
• duty-free import of necessary equipment;
• exemption from compensation for losses of forestry production.

Projects should include the construction, modernisation, technical or technological re-equipment of the relevant investment objects and the creation of new jobs. The investor needs to create at least: 

• 10 new jobs with a salary at least 50% higher than the average salary in the region for the same type of activity;
• or 30 new jobs with a salary at least 30% higher than the average salary in the region for the same type of activity;
• or 50 new jobs with a salary at least 15% higher than the average salary in the region for the same type of activity.