In recent years, Central and Eastern Europe (CEE) has enjoyed dynamic growth and has become a key destination for establishing shared service centres (SSC) or launching business process outsourcing (BPO) operations.
As costs in CEE rise and skilled labour is becoming scarce, Ukraine is becoming a #1 destination for investors looking for a location for a new SSC or BPO. There are several reasons for that.
With 42 million people Ukraine offers one of the largest talent pools in Europe.
Ukraine becomes an important transit corridor for trade and travel between Europe, Asia and the Middle East.
Ukraine’s labour costs are 3-4 times lower, compared to CEE countries.
Moreover, according to MoveHub, Ukraine is the most affordable country in Europe in terms of living costs, and is among the top-10 cheapest countries globally, with only Egypt and Pakistan being more affordable. While Kyiv, the country’s capital, is the most expensive place to live in the country, the cost of living is still very low by international standards.
Business climate improvement
According to the World Bank, in recent years Ukraine has done more to improve its business climate than any post-communist country.
Ukraine is already the country of choice for business services – five SSCs, over 100 R&D centers and a vast number of BPOs successfully operate in Ukraine, with many more companies planning to enter Ukraine soon.