The risks of investing in Ukraine are already lower than at the beginning of the war and the opportunities are higher, the first foreign investors such as Kingspan, Nestle and Bayer are already investing in the country and American businesses should follow their lead and benefit while they will have government support, USAID Administrator Samantha Power said.
“By investing in Ukraine, you can join companies like Kingspan, Nestle, and Bayer who are pioneering, you can invest in the future of Ukraine, and in doing so, you will be investing in the future of democracy. Know that USAID and our partners around the world plan to provide full support,” she said at the Ukraine-U.S. Partnership Forum hosted by the American Chambers of Commerce of the two countries in Washington, D.C. on Thursday.
Power said Ireland’s Kingspan group recently announced a $200 million investment to build a technology campus in Lviv that will employ 600-800 people, Nestle is investing nearly $43 million in a new food processing facility that will add 1,500 new jobs and Bayer is investing over $65 million to expand its corn seed plant, new warehouses and bomb shelters to protect employees.
She added that even during the war Ukraine has expanded its leadership in advanced industries such as artificial intelligence, fintech and blockchain, and in 2022 the IT industry brought more than $7 billion to the Ukrainian economy – 20% more than the year before.
The head of USAID stressed that the U.S. government is willing to work with businesses to reduce risks and try to remove barriers to investing in Ukraine as much as possible. “We are investing heavily in partnerships with the Ukrainian government, other democracies, and multilateral institutions to reduce the cost of doing business in Ukraine,” she said, citing assistance with restoring energy supplies and supplying seeds and fertilizer to Ukrainian farmers.
Speaking about removing barriers that still hinder investment, Power said a survey of 122 U.S.-Ukraine-related Chamber of Commerce companies, U.S. investors, international organizations and economic experts was conducted and eight areas of reform were identified.
“And now we’re taking this crowdsourced program of reforms and working with the Ukrainian government to help ensure they’re implemented,” the USAID chief added, citing among them increased transparency, increased judicial independence, and risk insurance.
“Now I know that you are all well aware of the potential benefits of being an early investor in an economy ready for substantial growth, ready for much deeper integration with European neighbors in the years ahead,” Power summed up.
And she also noted that a contribution to Ukraine’s economy now is a contribution to winning the war, a bet on values that are cherished in America.
