The “Yarich” confectionery group has raised $10 million from the Norwegian state investment fund Norfund, which it will use to modernize production and further develop the business, Norfund announced,
“Yarich’s impressive growth in recent years, despite the war, reflects the strength and dedication of its management and owners. Supporting strong teams and helping reliable companies achieve further growth is a key part of Norfund’s investment approach,” said Norfund Project Manager Anastasia Andriyevska.
According to the fund, the funds will be used to modernize production facilities, specifically to install a new pretzel production line, which will enable the company to expand its product range and enter new market segments.
“This investment is a strong signal of confidence in Ukrainian business and the resilience of our team. It will facilitate further expansion into new product categories and continued growth in both the Ukrainian and export markets,” said Tetyana Shermolovych, the company’s CEO.
Norfund noted that Yarych’s production site in the Lviv region, which employs about 500 people, is a key hub for export development. In recent years, the company has significantly increased its exports, primarily to Poland.
Yarych Holdings Limited is the parent company of the “Yarych” confectionery group, whose production facilities are located in the village of Staryi Yarychiv in the Lviv region. The group specializes in the production of long-lasting cookies and crackers under the Yarych brand. The holding company directly owns 84.94% of Yarych Confectionery Factory LLC, while another 15.06% is owned by Yarychiv LLC.
Norfund is Norway’s state-owned investment fund, which finances private companies and projects in developing countries with the aim of creating jobs and supporting sustainable economic development. In Ukraine, the fund operates through the Investment Fund for Ukraine, established in late 2024 to support Ukrainian businesses and attract private capital.
As previously reported, the Norwegian government allocated 250 million Norwegian kroner for Norfund’s investments in Ukraine as part of the Nansen Support Program.
In late 2025, the fund also invested $15 million in the Rebuild Ukraine Fund (REBUF), managed by Dragon Capital, and approximately EUR8.5 million in the expansion of the M10 industrial park in the Lviv region.
BUSINESS, confectionery industry, EXPORTS, INVESTMENTS, MODERNIZATION, Norfund, PRODUCTION, YARYCH
On July 6, the Chambers of Commerce and Industry of Ukraine and Kuwait held an online conference with the support of the Embassy of Ukraine in the State of Kuwait, attended by approximately 50 business representatives from both countries.
The event was co-chaired by Gennadiy Chizhikov, President of the Ukrainian Chamber of Commerce and Industry, and Firas Al-Oda, Acting Director General of the Kuwaiti Chamber of Commerce and Industry. The meeting marked the first practical event of this kind between the chambers after a hiatus of more than six years.
The main goal of the event was to establish direct contacts between Ukrainian and Kuwaiti entrepreneurs. The parties presented current trade and investment opportunities and identified promising areas for cooperation.
In his remarks, Maxim Subkh, Ukraine’s Ambassador to Kuwait, emphasized the importance of revitalizing the business component of bilateral relations, particularly in the context of involving Kuwaiti businesses in Ukraine’s post-war reconstruction projects.
Gennadiy Chizhikov, President of the Ukrainian Chamber of Commerce and Industry, urged Kuwaiti businesses to view Ukraine not only through the lens of the war, but first and foremost as a country of opportunities and a future member of the European Union.
Conference participants discussed the possibility of systematic cooperation through working groups in priority sectors, including agriculture, the food industry, construction, energy, IT, and logistics. The parties also exchanged contact information, presentations, and commercial proposals.
According to the data provided, trade between Ukraine and Kuwait amounted to $336.6 million in 2024 and $90.8 million in 2025. In the first five months of 2026, bilateral trade had already reached $102 million, exceeding the figure for the entire year of 2025.
BUSINESS, INTERNATIONAL TRADE, INVESTMENTS, KUWAIT, UCCI, ЧИЖИКОВ
Kredobank and the European Bank for Reconstruction and Development (EBRD) signed two risk-sharing agreements during the Ukraine Recovery Conference (URC 2026) in Gdańsk for new loan portfolios to Ukrainian businesses totaling EUR100 million, the Ukrainian bank’s press service reported.
“The additional EUR100 million from the EBRD will allow Kredobank to expand lending to Ukrainian companies not only in the small and medium-sized business sector but also in the corporate segment,” the press release quoted Jakub Karnowski, the bank’s chairman of the board, as saying.
One of the agreements covers a EUR60 million loan portfolio for small and medium-sized enterprises with annual revenue of up to EUR50 million and up to 250 employees.
It is being implemented under two programs: the EBRD’s “Resilience and Livelihoods Guarantee” (RLG) and the program to support the competitiveness and inclusion of small and medium-sized enterprises in the EU’s Eastern Partnership countries.
Under the RLG, the EBRD’s share of risk-sharing will be up to 70%, and the term of the guarantee coverage will be five years.
The program to support the competitiveness and inclusion of small and medium-sized enterprises in the EU’s Eastern Partnership countries enables Kredobank’s clients to receive grant support of up to 30% for investment projects that meet the EBRD’s requirements.
The EUR60 million agreement also provides for the use of the Enterprise Security Enhancement (ESE) mechanism, which will allow Kredobank to partially write off the debt of companies whose assets were damaged as a result of the war.
Under the second agreement, implemented through the RLG program, a EUR40 million loan portfolio is provided for large companies with no restrictions on revenue or number of employees. The EBRD’s share of risk-sharing will be up to 80%, the guarantee period will be five years, and the maximum amount of a single loan will be EUR4 million.
Both agreements provide for the possibility of lending without additional collateral.
According to Karnovski, the volume of financing for Ukrainian companies within Kredobank’s portfolio, which is covered by the EBRD’s limits and guarantees, has already reached EUR249 million. The funds were directed, in particular, to agriculture, the food industry, logistics, and retail.
As of the beginning of the year, according to information on the EBRD’s website, Kredobank served over 54,000 SME and corporate clients and over 550,000 retail clients.
According to the regulator, as of May 1, 2026, the bank ranked 14th (76.94 billion UAH) among Ukraine’s 58 solvent banks in terms of total assets.
92% of American Chamber of Commerce member companies in Ukraine continue to operate at full capacity after more than four years of full-scale war, according to the results of the “Doing Business in Wartime Ukraine” survey conducted by AmCham Ukraine in partnership with Citi Ukraine.
According to the study, nearly 70% of the companies that participated in the survey have been operating in Ukraine for more than 20 years. AmCham believes this demonstrates the resilience of these businesses and their long-term commitment to the Ukrainian market.
Despite the risks posed by the war, 87% of companies reported that their financial results in the second quarter of 2026 remained the same or improved compared to the second quarter of 2025. Only 13% of respondents reported a decline in performance.
Compared to 2021, before the war, nearly two-thirds of companies—63%—reported that their financial results remained stable or improved. At the same time, 37% of companies are still operating below pre-war levels.
Investment plans also remain stable: 87% of companies stated that their investments in Ukraine in 2026 will remain unchanged or increase compared to 2025. Of these, 54% plan to maintain their investment levels, while 33% plan to increase them.
The war continues to directly impact business. 47% of companies reported that their factories, production facilities, warehouses, offices, or other sites were damaged during the war. Among the affected companies, 46% have already fully restored their damaged assets, while 39% have completed partial repairs.
Half of the surveyed companies reported cases of employees being injured as a result of the war, and 37% reported employee fatalities. At the same time, 87% of companies have employees who are currently serving in the Armed Forces of Ukraine, and 60% are already hiring veterans.
71% of companies have already implemented, are developing, or have begun to roll out support and reintegration programs for veterans following demobilization. Specifically, 24% of companies have comprehensive policies for reintegrating veterans into the workforce, 20% are developing such policies, and 27% have already introduced initial support measures.
The main challenges for businesses remain employee safety (82%), issues related to mobilization and reserving employees (71%), and the threat of Russian missile attacks on critical infrastructure and business assets (63%). Among other challenges, companies cited the health and mental well-being of employees—50%—as well as attracting and retaining qualified personnel—44%.
At the same time, most companies do not plan to fill staffing shortages on a large scale with foreign workers. 63% of respondents stated that they are not considering hiring non-Ukrainian employees to address staffing issues, 25% are undecided, and only 12% are actively considering this option.
According to the business community, Ukraine will remain a stable but unpredictable market in 2026. This view is shared by 45% of respondents. Another 21% view Ukraine as one of the most promising markets for future growth in Europe, 18% consider it primarily a high-risk market focused on survival, and 16% see it as a market preparing for recovery.
Fifty percent of companies expect Ukraine’s economic recovery to become clearly visible 2–3 years after the end of the war. Another 18% believe that a gradual recovery is already underway, 16% see 2026–2027 as a possible turning point toward growth, and 16% believe that the recovery has not yet begun.
Respondents identified defense and military tech (78%), infrastructure and construction (71%), energy and distributed generation (50%), and agriculture and food processing (45%) as the key sectors for post-war recovery.
Companies consider Ukraine’s long-term growth potential to be the main factor driving investment attractiveness. 76% of respondents cited the vast opportunities for reconstruction and post-war economic growth as the primary driver of investment, 49% cited Ukraine’s path toward EU accession and integration into the European market, and 39% cited the potential of the defense and military tech sector.
Among the main barriers to business participation in reconstruction projects, respondents cited the security of reconstruction sites (56%), a lack of information and transparency regarding projects (55%), and an unclear legal and tender framework (55%).
The business community also outlined priorities for the government for 2026. Eighty percent of companies cited support for the rule of law, the fight against corruption, and genuine judicial reform as the top priority. Fifty-five percent pointed to the need to strengthen national security, defense, and demining efforts, while 44% emphasized the need for predictability and stability in tax legislation.
The “Doing Business in Wartime Ukraine” survey was conducted by AmCham Ukraine and Citi Ukraine from May 21 to June 16, 2026. It included 112 executives from AmCham member companies across various industries; 69% of respondents hold CEO positions.
Source: American Chamber of Commerce in Ukraine, Citi Ukraine
Ukraine’s major industrial associations and groups oppose Ukrzaliznytsia’s significant and unjustified increase in freight rates, which would deal yet another blow to Ukraine’s economy.
Business representatives expressed this position at a press conference titled “A Tariff Blow to the Ukrainian Economy: Leading Industries Oppose Ukrzaliznytsia’s Unfair Increase in Freight Rates” at the Interfax-Ukraine news agency on Tuesday.
Oleksandr Kalenkov, president of the “Ukrmetallurgprom” Association, noted that while the draft order on raising tariffs has not yet been made public, the issue is being actively discussed. He emphasized that “Ukrzaliznytsia” is a state monopoly and that corruption is present in its operations. The company must operate transparently, and its activities should be overseen by an independent body—the National Commission for State Regulation in the Transport Sector—the creation of which has been under discussion in Ukraine for 17 years.
“We hope that the decision to raise tariffs will be made objectively. Moreover, freight transportation has always been profitable. Specifically, Ukrzaliznytsia’s operating profit in 2024 amounted to 20 billion hryvnias; profitability remained steady in 2025, and we also expect Ukrzaliznytsia to operate profitably this year. However, the volume of freight is decreasing: from 315 million metric tons in 2021 to 160 million metric tons in 2025,” said Kalenkov.
He added that the business community is trying to engage in a constructive dialogue with the company. In particular, there is the issue of subsidizing passenger transportation, but passenger transportation cannot be subsidized at the expense of private businesses; it must be funded through the budget. However, the business community can invest its own funds to provide support.
“Ukrzaliznytsia has opportunities to improve efficiency through its operational activities. Furthermore, it has the ability to secure external financing, whereas the private sector currently lacks such opportunities. So let’s resolve these issues together, rather than making decisions behind closed doors,” urged the head of Ukrmetallurgprom.
Kalenkov added that following the press conference, a joint appeal to the government would be drafted.
“We are prepared to accept a fare increase of up to 10%. And Ukrzaliznytsia itself must improve its efficiency. We need a normal, open discussion about the transportation situation,” he concluded.
Pavlo Kachur, head of the Association of Cement Producers of Ukraine (Ukrcement), noted that the transportation situation is becoming critical, and this threatens not only a specific industry but the Ukrainian economy as a whole.
“We support raising tariffs, but we advocate for an objective increase. Balanced rates must be adopted. No one has any interest in the collapse of any industry!” Kachur emphasized.
The head of “Ukrcement” proposed a set of solutions, including allowing private rail operators to participate in freight transportation, since, according to his data, up to 50 trains are unable to find locomotives for transport. Kachur also highlighted the need to raise salaries for train drivers and “Ukrzaliznytsia” employees, as well as the need to address the issue of passenger transportation, particularly commuter services.
He also spoke in favor of adopting anti-crisis measures and the need for “Ukrzaliznytsia” to publicly disclose its plans regarding where the funds generated by the tariff increases will be allocated.
“We support Ukrzaliznytsia presenting a program to modernize its rolling stock. We support the adoption of performance indicators for freight delivery so that the railway can report on this,” Kachur explained.
Serhiy Kudryavtsev, Executive Director of the Ukrainian Association of Ferroalloy Producers (UkrFA), supported the proposal regarding fares and resolving the issue of cross-subsidization. At the same time, for enterprises in the ferroalloy industry located in areas of active hostilities, the cost of freight delivery is a critical issue.
“The cost of transporting manganese to Nikopol has increased fivefold. And this is a matter of survival for our companies,” said Kudryavtsev.
Vladimir Gusak, CEO of the Federation of Transport Employers of Ukraine, expressed surprise at Ukrzaliznytsia’s plans to raise tariffs.
“This is yet another attempt by Ukrzaliznytsia to raise freight tariffs: by 30% starting in August 2026 and by another 15% starting in January 2027. That is, by nearly 50%. This shows a complete lack of understanding of the realities,” Gusak said, adding that the main problem is the chronic losses in passenger transportation. At the same time, the volume of freight transportation is declining: now, with every fare increase, companies are forced to either reduce shipments or switch to other modes of transport just to stay afloat.
“In the current situation, we believe a moratorium on railway fare increases should be implemented until the war ends,” Gusak emphasized.
Konstantin Saliy, president of the All-Ukrainian Union of Building Materials Manufacturers, noted that in developed countries, fare increases are approved only after consultations, and this issue always receives close attention.
“A 2–3% price increase in the EU causes significant public discontent. Here, however, it’s 30% right off the bat. And this will trigger a chain reaction of price increases—we’ll feel it first, and then consumers will,” Saliy predicted, adding that “Ukrzaliznytsia” could secure funding through land taxes, the development of retail trade at train stations, and other areas, rather than by raising fares. The company should streamline its administrative staff and optimize its expenses. And shifting its problems onto Ukrainians and Ukrainian businesses is the wrong approach, Saliy concluded.
Oksana Nechay, a logistics specialist for rail transport at the Kovalska Industrial and Construction Group, noted that every increase in production costs is practically catastrophic for their company.
“It will lead to a loss of customers, and we operate in the domestic market. And this will result in a drop in tax revenues. The next increase could also take a toll on part of the industry. Both we and Ukrzaliznytsia stand to lose. We are not opposed to an increase, but it must be justified, because we are interdependent,” Nechay said.
Ksenia Orynchak, Executive Director of the National Association of the Mining Industry of Ukraine (NADPU), reported on a “casual meeting” of mining industry representatives last week, as well as an appeal to the Prime Minister, the Ministry of Development, and the State Regulatory Service to prevent an increase in railway tariffs.
“We outlined the negative consequences. Meanwhile, the EU is currently focusing on environmental issues. But Ukraine is moving in the opposite direction, shifting from rail to road transport due to Ukrzaliznytsia’s stance,” Orynchak noted, proposing that a joint appeal following the press conference highlight the need to pursue an environmentally friendly approach in line with the SVA.
Source: https://interfax.com.ua/news/press-conference/1177028.html
BUSINESS, freight rates, INDUSTRY, KUDRYAVTSEV, Nechay, Saliy, TRANSPORTATION, UKRZALIZNYTSIA, КАЛЕНКОВ, Оринчак
The labor shortage in Ukraine has reached a historic high—69% of companies cited it as the main obstacle to doing business during the war, according to the Institute for Economic Research and Policy Consulting (IER), based on the results of its 49th monthly survey, which the IER conducted among 469 industrial enterprises.
“For several months now, the ‘labor shortage’ obstacle has been breaking records. This obstacle has remained in first place for over a year and a half, reaching a high of 69% in May. Businesses are concerned about the shortage of workers,” said IER Senior Research Fellow Yevhen Angel.
In May, there was a slight decrease in the difficulty of finding qualified workers—the share of enterprises that found it harder to recruit such workers fell from 62.3% to 60.6%. It is more difficult to find unskilled workers—for 38.4% of respondents in May, compared to 34.3% in April.
Only 2.4% of businesses plan to increase employment over the next three months, while 5.1% plan to place employees on mandatory leave.
“Rising prices for raw materials, supplies, and goods” remains the second-biggest obstacle—the figure fell slightly from 56% to 49%.
The share of those concerned about “unsafe working conditions” has decreased slightly: this issue has become an obstacle for 44% of businesses, down from 46% in April, allowing it to hold third place for the fourth consecutive month.
The pattern of “unsafe working conditions” as an obstacle remains consistent across enterprise size. Medium and large enterprises are more likely to cite this problem—48% and 47%, respectively, in May—as they are more likely to be targeted by enemy attacks.
“From a regional perspective, this obstacle is particularly acute in frontline and central regions—over 80% of respondents in the Kyiv, Vinnytsia, Odesa, Zhytomyr, Zaporizhzhia, and Dnipropetrovsk regions cited it. In the west of the country, this obstacle is less relevant. The only exception is Rivne Oblast,” Angel said.
However, there have been noticeable changes regarding two other obstacles. The obstacle “decreased demand for products/services” rose from 26% to 38%. In addition, logistical difficulties have intensified, as evidenced by the increase in the obstacle “difficulties in transporting raw materials or finished goods across Ukraine” from 24% to 30%.
No significant changes were recorded for other obstacles. “Corruption” and “unlawful demands or pressure from law enforcement or regulatory agencies” remain “in the shadow” of the main obstacles—only 7% and 3% of respondents, respectively, mentioned them in May.
“The relevance of the obstacle ‘power outages’ remains at a relatively low level—20% in May—when compared to the winter attacks on our energy infrastructure,” Angel said.
It is noted that 31% of businesses temporarily suspended operations due to power outages in April, but mostly for short periods of time. At the same time, 41% of businesses operated continuously despite the outages. Already, 28% of businesses experienced no power outages, up from 20% the previous month.
Average working time losses amounted to 4% in April. The greatest losses of working time were observed in micro and small enterprises (57%); by industry, in the chemical industry (6%); and by region, in Kyiv (13%) and Sumy (9%) regions.
Assessments of the government’s economic policy remain neutral. “A large share of enterprises provide neutral assessments; specifically, 64% of respondents did so in May. The share of positive assessments remains low at 6%. At the same time, the share of negative assessments stands at 25%, and this gap between positive and negative assessments has persisted since the summer of 2023,” Angel summarized.
Up to 500 Ukrainian industrial enterprises located in 21 of Ukraine’s 27 regions participate in the IED’s New Monthly Enterprises Survey (#NRES). The survey has been conducted monthly since May 2022.
