On April 5, First Deputy Prime Minister of Ukraine – Minister of Economy of Ukraine Yuliia Svyrydenko met with Chief Executive Officer of the U.S. International Development Finance Corporation (DFC) Scott Nathan to sign a cooperation agreement on war risk insurance and investment in the Ukrainian private sector. Deputy Minister of Economy Oleksandr Hryban also attended the event. 

“Ukrainian business expects the full launch of such an important financial instrument as war risk insurance. We hope to present the results of cooperation and joint programs with stakeholders, such as MIGA, IFC and EBRD at the Ukraine Recovery Conference in London. DFC is already using all available tools to mobilize investments in Ukraine’s private sector. We also expect positive decisions on a number of projects that are already under consideration by the Corporation, including war risk insurance projects in Ukraine,” said Yuliia Svyrydenko.

The First Deputy Prime Minister added that DFC’s intention to mobilize USD 1 billion of investments in Ukraine includes the creation of new projects in strategic sectors of Ukraine’s economy, such as energy, food security, reconstruction of social and critical infrastructure, military tech, IT, etc. Moreover, DFC announced a new USD 25 million investment project in Ukraine for Horizon Capital Growth Fund IV as a limited partner.

According to the latest RDNA report from the World Bank, Ukraine should mobilize at least USD 0.5 billion in donor support for insurance and war risks needs this year, which can be multiplied by a factor of x2.

“DFC is focused on mobilizing capital in the private sector of Ukraine and war risk insurance is an important part of this process. It is important for DFC to see proposals for potential projects in which we could invest. We recently signed a memorandum with USAID and the Government of Ukraine on the Advantage Ukraine platform, which will help us find new opportunities to support Ukrainian business and the economy,” said Scott Nathan.

Thus, Advantage Ukraine will deepen its cooperation with DFC for the purpose of processing requests from potential investors, pre-selection of projects, assistance in structuring and capacity building. The positions referred to in the Memorandum should serve as a signal to other lenders and investors around the world that they can get involved in Ukraine’s recovery and economic development now.