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The Government Is Improving Mechanisms to Support Enterprises: The Conditions and Areas of Using Grant Funds Have Been Expanded

The Cabinet of Ministers of Ukraine has improved the conditions of the eRobota grant program. Corresponding amendments were made to resolution No. 738 “Certain issues of providing grants to businesses” dated 21 June 2022 at the meeting on 27 September.

In particular, the Government expanded the areas of using grant funds in the framework of the “Own business” program. Now the winners of the program can spend the received funds to cover the following expenses:

  • purchase of software, domestic animals and poultry, perennial crops, seed material, raw materials, materials, goods and services related to the implementation of the business plan (up to 50% of all funds);
  • rental fee for non-residential premises (up to 25% of all funds);
  • rental fee for equipment (up to 10% of all funds);
  • equipment lease, except for personal vehicles (up to 50% of all funds);
  • marketing and advertising services (up to 10% of all funds);
  • using rights of other economic entities in business activities (commercial concession).

The Government has also decided that changes may be made to the already approved business plan. In the case of an increase in the value of the subject of the agreement with the supplier, an additional payment of the amount of funds may be made within the limits of the recipient’s micro-grant amount. In this case, the recipient makes appropriate changes to the business plan, sends it to the authorized bank and the relevant regional employment center for approval. 

In the event of a change in the intended purpose, the recipient applies to the State Employment Center (SEC) with a corresponding statement in an arbitrary form on the justification of the change in the intended purpose of the micro-grant funds. The SEC commission makes an appropriate decision at the next meeting, which will be communicated to the recipient by e-mail. The SEC informs the authorized bank within five business days after making a positive decision about the change of the intended purpose.

In addition, amendments have been made to the resolution regarding the verification of the borrower’s business reputation, namely, the criteria for refusal have been specified and detailed.

“We are in a constant dialogue with business, analyze and improve the conditions for providing grants for entrepreneurs. We understand that in these turbulent times, it is necessary to make the rules for issuing grants more flexible, to provide for new relevant areas for spending grant funds. Therefore, we emphasize that the eRobota program is dynamic but maintains its main goals, which are the creation of jobs and the intensification of entrepreneurship,” stressed Yuliia Svyrydenko, First Vice Prime Minister – Minister of Economy of Ukraine.

The eRobota government project provides for grants to Ukrainians for starting a business, developing entrepreneurship and training. It is aimed at boosting entrepreneurship and stimulating creation of jobs.

Both novice entrepreneurs and people who already have business experience can receive grants. Application for a grant is submitted through the Diia Portal.

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