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.

Current Programs:

FINANCIAL SECTOR:

Financial Sector Transformation Project (FST)
Implementer: DAI Global LLC
Project Period: October 28, 2016 – August 27, 2021
https://www.facebook.com/FSTProject/

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 include technical assistance, legal and regulatory drafting, educational tours, training, and some limited procurement of information and technology systems.

Business Investments and Loans
Implementer: Western NIS Enterprise Fund/Horizon Capital
Project Period: September 21, 1994 – December 31, 2023
https://wnisef.org/; https://www.facebook.com/wnisef

USAID created the Western NIS Enterprise Fund (WNISEF), a regional private equity fund for Ukraine and Moldova, in 1994, capitalizing it with $150 million, and for two decades WNISEF invested in small and medium-sized companies in the region. In 2014, USAID re-directed the remaining funds toward promoting policies and practices that support private sector development. WNISEF now focuses on developing economic leadership and local economies and building social investments and export promotion.

PRIVATE SECTOR DEVELOPMENT:

Competitive Economy Program
Implementer: Chemonics Int.
Project Period: October 16, 2018 – October 15, 2023
https://www.facebook.com/usaidcep.ua

USAID’s Competitive Economy Program (CEP) advances a strong, diverse, and open Ukrainian economy by supporting business startups and small and medium-sized enterprises (SMEs) to become more competitive in domestic and international markets.  CEP’s principal objectives are: strengthening the business enabling environment, developing new and innovative industries and firms, and promoting export and trade.    

Economic Resilience Activity
Implementer: DAI Global
Project Period: August 27, 2018 – August 26, 2023
https://www.facebook.com/ERAUkraine

The conflict in eastern Ukraine has disrupted critical market linkages, catalyzed the economic decline of previously dominant industries, and caused massive population disruption. ERA will support entrepreneurs and small- and medium-sized businesses in competitive sectors to mitigate the impacts of the conflict and reduce the region's reliance on oligarch-backed big businesses and trade with Russia. In the short-term, ERA will work with conflict-affected and vulnerable populations to help them rebuild their economic livelihoods. In the medium-term, ERA will work in select value chains and with innovative businesses to help them expand and find new markets. ERA’s long-term goal is to build confidence in the future of the eastern Ukrainian economy by stimulating entrepreneurship and investment in the region. ERA’s primary focus is on providing support to Luhansk and Donetsk Oblasts, while also working to strengthen economic linkages between these two oblasts and the rest of the country.

Analytical Services in Support of the Economic Resilience Activity
Implementer: Resonance Global
Project Period: August 20, 2018 – August 19, 2023

The Analytical Services in Support of the Economic Resilience Activity supports the implementation of USAID’s Economic Resilience Activity (ERA) by providing third-party monitoring and evaluation services to ensure that ERA’s efforts are having an impact. This activity supports USAID’s commitment to data-driven, evidence-based development and maximizing the impact of U.S. taxpayer assistance.

Competition Law and Policy for Ukraine (CLP)
Implementer: U.S. Federal Trade Commission (FTC)
Project Period: December 4, 2019 – December 5, 2024

The Competition Law and Policy for Ukraine Activity promotes development of an effective competition policy and a better business enabling environment. The Federal Trade Commission (FTC) and the Department of Justice (DOJ) provide technical assistance to the Anti-Monopoly Committee of Ukraine (AMCU) and the Ministry of Economic Development and Trade (MEDT) to strengthen the institutions and build their capacity to develop sound policy.  FTC and DOJ advisors work at AMCU to train and counsel Ukrainian case handlers and within the MEDT and other agencies to assist in competition policy development.  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.

The State-Owned Enterprises Rapid Response Activity (SOERR)
USAID/Ukraine’s Buy-In Component of the USAID Economic Development, Governance, and Enterprise Growth (EDGE)
Implementer: International Development Group, LLC (IDG)
Project Period: February 1, 2020 – May 31, 2021

The State-Owned Enterprises Rapid Response Activity (SOERR) activity consists of two complementary tasks: (1) providing professional support to the reform and privatization of state-owned enterprises and; (2) supporting reforms in the real estate sector. The activity has USAID-supported advisors working in specific government institutions -- the State Property Fund of Ukraine, the Ministry of Economic Development, Trade and Agriculture, and ProZorro.Sales -- to provide on the spot consultation and training. SOERR is implemented through a broader USAID initiative, entitled the Economic Development, Governance, and  Enterprise Growth (EDGE) activity. 

CYBERSECURITY:

Cybersecurity for Critical Infrastructure in Ukraine Activity  
Implementer: DAI Global
Project Period: May 18, 2020 – September 17, 2024

USAID’s Cybersecurity for Critical Infrastructure in Ukraine Activity strengthens the resilience of Ukraine’s critical infrastructure to withstand cyberattacks by establishing trusted collaboration between key cybersecurity stakeholders in government, the private sector, academia, and civil society. The Activity includes three mutually-reinforcing components: 1) strengthening the cybersecurity enabling environment; 2) developing Ukraine’s cybersecurity workforce; and, 3) building a resilient cybersecurity industry.