Verkhovna Rada Highlights Importance of Liberalizing Ukrainian Arms Exports

by Roman Cheplyk
Thursday, September 5, 2024
1 MIN
Verkhovna Rada Highlights Importance of Liberalizing Ukrainian Arms Exports

Deputy Galina Yanchenko has stressed the critical need to liberalize the export of Ukrainian-made weapons. She believes this move will help defense companies generate profits and invest in further development

Yanchenko noted that while Ukraine's defense industry has the capacity to produce up to $20 billion in military products annually, the state can only afford to purchase $6 billion due to budget limitations. This leaves $15 billion worth of potential exports, which could significantly contribute to the country’s economy, potentially rivaling the exports of agriculture and IT services.

Despite the high demand for Ukrainian defense products globally, current policies restrict exports, limiting companies' ability to grow and innovate. Yanchenko pointed out that existing programs like "Affordable Loans 5-7-9%" are not accessible to the defense industry, and punitive contracts from the Ministry of Defense further strain defense companies.

She called for political action from the Cabinet of Ministers and the State Service of Expert Control to ease export restrictions, allowing defense companies to sell surplus production internationally and reinvest in their operations. Yanchenko also mentioned Denmark as the first country to contribute to Ukraine's "ZBROYARI: Manufacturing Freedom" project, which supports the purchase of Ukrainian-made weapons for the Armed Forces. However, she emphasized that broader liberalization is needed for long-term industry growth.

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