Prime Minister Denis Shmigal announced that under the new grant program “Created for Victory,” these enterprises can apply for grants of up to 8 million UAH to create or expand production, with the state financing 50% of the project’s costs.
Key Features of the Grant Program
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Grant Amount:
Eligible businesses can withdraw a grant of up to 8 million UAH for the creation and expansion of production facilities. -
Co-Financing Principle:
The program operates on a 50/50 funding model, meaning that if the state provides 8 million UAH, the enterprise is expected to contribute an equal amount. For drone producers, the financing scheme is even more favorable, with 70% state support and a 30% contribution from the producer. -
Program Framework:
This initiative is part of the “Created for Victory” program, which has already successfully transferred 1 billion UAH to the national budget. It is designed to enhance self-sufficiency, defense, and economic security by boosting domestic production capabilities in critical sectors.
Context and Strategic Importance
According to Prime Minister Shmigal, bolstering production on Ukrainian soil is a key component of the military-industrial complex and overall economic security. Enhancing domestic production not only supports Ukraine’s defense capabilities but also strengthens the country’s ability to resist external pressures and foster economic resilience. The grant program aims to facilitate the modernization of production facilities, thereby contributing to Ukraine's overall industrial recovery.
Shmigal underscored the importance of such initiatives during a recent meeting, emphasizing that expanding production is essential for both self-sufficiency and the broader goals of economic and defense security. He noted that the state’s commitment to matching private investment under the 50/50 principle is a critical driver of this strategy.
International Cooperation
In addition to domestic initiatives, Prime Minister Shmigal discussed cooperation with Belgian counterparts, including Bart de Wever, on enhancing industrial production in the defense sector. This dialogue is part of a broader effort to strengthen Ukraine's industrial base through international partnerships and technological transfer.
Conclusion
The announcement that Ukrainian producers of defense and agricultural components can access grants of up to 8 million UAH under the “Created for Victory” program is a promising development for Ukraine's industrial sector. With a favorable co-financing mechanism and robust state support, this initiative is set to accelerate production expansion and contribute significantly to Ukraine's self-sufficiency and overall economic recovery.
Stay tuned for further updates on the grant program and other strategic initiatives aimed at bolstering Ukraine’s industrial capacities and defense readiness.
