The Cabinet of Ministers of Ukraine has approved the Ukraine Facility Plan, which will be the basis for the implementation of the European Union’s financial assistance programme to Ukraine in 2024-2027. Kyiv School of Economics provided analytical and organisational support in the development of the document under the Good Governance Fund Project “Business Revitalisation in Ukraine” funded by UK International Development of the UK Government, and the the European Union’s Recovery and Reconstruction Project “EU support to rebuilding and recovery”.

The Ukraine Facility Plan was prepared by the Government of Ukraine under the leadership of the First Deputy Prime Minister and Minister of Economy of Ukraine, Yulia Svyrydenko, and the team of the Ministry of Economy of Ukraine, in cooperation with other ministries and relevant government agencies, and in constant consultation with representatives of the European Commission.

Together with representatives of the Ministry of Economy of Ukraine, the Ministry of Finance of Ukraine and the National Bank of Ukraine, KSE experts developed 3 macro-financial models of the Ukrainian economy for the coming years. KSE experts also provided analytical support in assessing the impact of reforms and their synchronisation with other international commitments of Ukraine. 

An important component of the Kyiv School of Economics’ work in developing the Ukraine Facility Plan was organisational, informational and analytical support to sectoral working groups with business, as well as expert evaluation of the proposals submitted. In total, 133 proposals from the business community and 84 from NGOs were partially or fully taken into account in the Plan.

KSE experts paid special attention to the creation of a database of potential investment projects, their evaluation and opportunities for attracting funding from international financial institutions under the second component of the EU’s Ukraine Facility programme. 

“Since July 2023, Kyiv School of Economics has been supporting the Government throughout the development of the Ukraine Facility Plan. Together with the Ministry of Economy, we set up sectoral groups with the business community to identify the most promising areas and include them in the programme. Much effort was put into analysing the proposals submitted by the sector groups. I would like to thank the business community, experts and the public for their constructive and professional work,” said Natalia Shapoval, Head of KSE Institute.

The Ukraine Facility Plan envisages structural reforms in the public sector, a number of economic reforms aimed at developing the business climate and entrepreneurship, as well as steps to develop priority sectors that can ensure rapid economic growth. The implementation of the Plan will contribute to Ukraine’s European integration and further sustainable economic development.

The document contains more than 150 indicators in 69 areas of reform. The reforms are to be implemented by 2027. The plan has been developed in full consultation with Ukraine’s key international partners. In this respect, some of the indicators correspond to Ukraine’s existing international commitments under other agreements.

The Plan also includes 16 investment indicators, which are included in the general list of changes. To meet them, Ukraine will continue and strengthen its programmes for infrastructure development, mine clearance, renewable energy, support for small and medium-sized enterprises, etc.

In the future, experts from Kyiv School of Economics will be involved in monitoring the implementation of the indicators of the Ukraine Facility Plan, as well as in estimating their possible effects in the short and long term.

As a reminder, in February 2024 the European Parliament approved the regulations of the Ukraine Facility programme. According to the approved regulations, the €50 billion EU assistance programme for Ukraine will run from 2024 to 2027.

Following approval by the Ukrainian Cabinet of Ministers, the text of the Ukraine Facility Plan will be submitted to the European Commission for assessment and approval by the Committee of EU Member States, after which the Ukraine Facility programme will enter into force.

All information and the detailed contents of the Ukraine Facility Plan, including a list of planned reforms, can be found on a dedicated website: https://www.ukrainefacility.me.gov.ua