UkraineInvest updates Guide on State Support for Significant Investments

The guide has been updated due to the entry into force of amendments to the Law of Ukraine “On State Support of Investment Projects with Significant Investments in Ukraine” in early December this year. In particular, the amendments concern clause 4 of Part 1 of Article 5 of the Law. The revised provisions stipulate that if investments in assets were made more than 18 months before submitting the application, those investments will not be counted when calculating the total amount of Significant Investments for estimation of maximum amount of state support.

“Companies that made investments more than 18 months prior to the application submission date can now also qualify for signing a special investment agreement with the Cabinet of Ministers of Ukraine, provided that such investments are excluded from the calculation of the maximum allowable amount of state support,” commented Alyona Sumina, Acting Head of the Legal Affairs and Regulatory Policy Department.

These changes are aimed at improving the regulatory framework, attracting a wider range of investors to projects involving capital investments, and improving the overall investment climate in Ukraine.

The updated guide is a valuable resource for entrepreneurs planning to invest in projects worth at least EUR 12 million. It provides comprehensive information on the mechanisms of state support, incentives and benefits available for such projects.

State support for investors can cover up to 30% of the capital expenditure (CAPEX) of an investment project and may include:

exemption from income tax, VAT and import duties on imports of new equipment for project implementation;
compensation for the costs of construction of engineering and transport infrastructure and connection to engineering and transport networks;
exemption from compensation for losses of forestry production;
exemption from land tax / lower tax rate or land rent lease of state or municipally owned land without bidding.

These incentives are designed to encourage investment and promote the development of strategically important sectors of the Ukrainian economy.

UkraineInvest invites both domestic and international investors to cooperate and offers exceptional opportunities for those willing to contribute to Ukraine’s reconstruction and economic growth.

The updated guide is available on the following link.

One of the most powerful ways to communicate that foreign businesses can and do operate successfully in Ukraine is through the voices that matter most to potential investors – those of other businesses.
We would like to invite you and your company to be featured on UkraineInvest’s web site as a “success story” of a foreign business operating in Ukraine.

Error: Contact form not found.