The Cabinet of Ministers of Ukraine has improved the mechanism for providing state incentives to industrial parks with the aim of accelerating the restoration of infrastructure damaged as a result of Russia’s armed aggression.
This was announced by Ukrainian Prime Minister Yulia Svyrydenko.
The updated mechanism provides for the possibility of state co-financing of restoration work in the amount of up to 80% of its cost, but not more than UAH 200 million per industrial park.
Conditions for receiving support
To participate in the program, the applicant must meet a number of requirements:
- ensure its own co-financing of the project;
- commission at least 5,000 square meters of industrial space;
- attract at least two processing enterprises within three years;
- submit an application no later than six months after the infrastructure was damaged.
Expansion of the Program’s Geography
The update also provides for an expansion of the list of territories where preferential co-financing at an 80/20 ratio applies. From now on, this mechanism applies not only to de-occupied communities but also to frontline territories.
The Role of Industrial Parks in the Economy
According to the Prime Minister, industrial parks remain a key tool for manufacturing development under the “Made in Ukraine” state policy and contribute to regional economic growth.
According to current estimates:
- hectare of industrial park creates an average of about 50 jobs;
- every $1 of government investment in infrastructure can attract up to $6 in private investment.
The government has announced its intention to continue adapting support mechanisms for industrial parks in line with business needs and wartime conditions.
