After attaining independence in 1991, Ukraine undertook inconsistent reforms toward becoming an efficient market-based economy. USAID supports a competitive economy in Ukraine in which small and medium-size businesses are free to achieve their potential. With USAID support, the Government of Ukraine recently achieved several milestones, including introducing an electronic disclosure and reporting system for publicly listed companies, creating institutions to facilitate transparent and efficient asset trading, and developing a bond market.
USAID works with Ukrainians to build a strong financial sector in Ukraine regulated by politically and financially independent entities, supported by industry best practices, integrated with international standards, and trusted by Ukraine’s citizens and the investor community.
USAID programs improve the business climate at the national and local levels to encourage domestic and foreign trade and investment. By streamlining laws and regulations that contribute to the cost of doing business, USAID fosters a competitive Ukrainian economy.
PRIVATE SECTOR DEVELOPMENT:
Commercial Law Reform Project
Commercial Law Center
October 16, 2011 – July 15, 2018
The USAID Commercial Law Reform project is helping the Government of Ukraine draft laws and secondary legislation related to public-private partnerships, taxation, bankruptcy, registration of companies, and other areas critical to economic development. CLC was launched in 2003 as a legacy of previous USAID activities that helped the Government of Ukraine develop modern legislation and market-oriented policies to replace Soviet-style laws and outdated command economy regulations.
Business Investments and Loans
Western NIS Enterprise Fund/Horizon Capital
September 21, 1994 – December 31, 2023
USAID created the Western NIS Enterprise Fund (WNISEF), a regional private equity fund for Ukraine and Moldova, in 1994, capitalizing it with $150 million. For two decades WNISEF invested in small and medium-sized companies in the region. In 2014, USAID directed remaining funds toward promoting policies and practices that support private sector development. The focus areas include economic leadership, local economic development, social investments, and export promotion.
Leadership in Economic Governance (LEG/LEV)
East Europe Foundation (EEF), in partnership with the Institute for Economic Research and Policy Consulting (IER), CASE Ukraine (CASE) and the Kyiv Economics Institute under the Kyiv School of Economics (KEI)
December 19, 2014 – December 18, 2019
The Leadership in Economic Governance activity seeks to improve the country’s business enabling environment by identifying local organizations with recognized technical proficiency and knowledge and then strengthening their capacity to identify and correct policy weaknesses and motivate concrete institutional reform. The activity has three objectives: 1) identify legal, regulatory and administrative measures that improve the business environment for Ukrainian small and medium enterprises (SME); 2) support central and local governments in developing, promoting and implementing effective pro-SME reforms; and, 3) coordinate with and support stakeholders in the business community to advocate for economically sound and fiscally responsible reforms.
International Partnership for Financial Sector Stability
SEGURA Consulting LLC
December 19, 2015 – June 30, 2017
USAID’s Regional Economic Growth Project (REG) is a covers Albania, Armenia, Azerbaijan, Belarus, Bosnia & Herzegovina, Georgia, Kosovo, Macedonia, Moldova, Serbia, Ukraine. REG supports inclusive and sustainable economic growth in the E&E region by integrating and harmonizing regional markets. Core activities improve competitiveness and increase financial sector stability by advocating regional economic integration and building economic linkages to EU and other markets. REG provides a cost-effective platform for demand-driven technical assistance and teaches private sector skills and financial sector management and regulation best practices. In Ukraine, REG supports: 1) Strategic communications to rebuild trust in financial system; 2) Development of non-bank financial sector and alternative financing instruments; 3) More effective financial sector supervision and regulation; and 4) Digital finance technology and innovation to restore formal financial transactions in underserved areas.
Economic Opportunities for People Affected by Conflict
Ukrainian Women's Fund
August 29, 2016 – August 28, 2018
The activity will support job creation and help people affected by the conflict in the Donbas to relocate and start new businesses, with special attention to the extremely vulnerable, e.g., people with disabilities. The activity will be implemented in Kyiv, Dnipro, Zhytomyr, Kharkiv, Zaporizhzhya and Vinnytsya Oblasts.
Competition Law and Policy for Ukraine (CLP)
U.S. Federal Trade Commission (FTC)
March 30, 2016 – December 31, 2019
The Competition Law and Policy for Ukraine Activity will advance competition policy and promote a better business enabling environment. The Federal Trade Commission (FTC) and the Department of Justice (DOJ) will provide technical assistance to Ukraine aimed at the development of sound competition policy and institutions, and will be directed primarily at building the capacity of the Anti-Monopoly Committee of Ukraine (AMCU) and the Ministry of Economic Development and Trade (MEDT). Key to the activity are FTC and DOJ advisors placed in the AMCU to train and counsel Ukrainian case handlers. Advisors will also work with MEDT and other agencies to assist in the development of competition policy. Other elements of the program include training programs; cooperation with agencies in the target regions; AMCU staff member placement within the FTC; and support to local NGOs.
Ukraine Trade Policy Program
April 6, 2015 – April 5, 2017
The goal of the USAID Ukraine Trade Policy Program (UTPP) is to expand the capacity for Ukraine's private sector to take advantage of export opportunities and promote the diversification of Ukraine’s export markets, while also strengthening Ukraine’s ability to prevent and address foreign trade pressures. To achieve this, the program works to 1) expand Ukraine’s capacity to utilize tools available through the WTO system, 2) improve communication and coordination on WTO issues both within the GOU and with external stakeholders, and 3) assess and improve Ukraine’s WTO compliance. Activities include short and long-term training for public and private stakeholders, direct expert support and consultation, and technical assistance to develop informational tools, training materials and procedures.
Financial Sector Transformation Project (FST)
DAI Global LLC
October 28, 2016 - December 28, 2020
The Financial Sector Transformation Project (FST) is a four-year program whose primary focus is to develop and improve financial service delivery to meet the needs of citizens and businesses of all sizes. Working in partnership with the Government of Ukraine and its financial sector regulators, financial industry associations, civil society organizations and the private sector, FST seeks to:
- Increase public confidence in and understanding and use of the banking system;
- Support transformation of the financial sector legal and regulatory environment;
- Increase access to finance for small and medium-sized enterprises;
- Improve financial inclusion and expand digital finance solutions; and
- Support a balanced and sustainable pension system.
Project activities will include technical assistance, legal and regulatory drafting, educational tours, training, and limited procurement of information and technology systems. It is anticipated that Ukrainian firms will serve as subcontractors to carry out some of these initiatives.
Last updated: December 19, 2016