A primary USAID goal is to improve Ukraine’s prospects for achieving more balanced, and thereby sustainable, economic growth. USAID’s economic growth programs include technical assistance in the following areas.
Agriculture
Agricultural Policy Transition Support (ATPS) Project
The APTS project serves as a bridge between previous USAID agricultural activities and the soon to be launched AgroInvest project. The project is helping Ukraine to spur economic growth by facilitating the adoption of market-oriented, WTO compliant agricultural reforms through a ‘bottom-up’ approach. This approach builds upon the expertise of local organizations which increases the likelihood of the adoption of critical reforms. Project activities facilitate a public-private policy dialogue while promoting public awareness for major agricultural reforms. The project assists with developing the institutional capacity of local organizations for driving these market-oriented reforms under AgroInvest and into the future.
AgroInvest
AgroInvest will work to develop a competitive agriculture industry that can accelerate economic recovery in Ukraine and contribute to global food security efforts. The project will: support a stable, market-oriented policy environment; stimulate access to agricultural finance; and facilitate market infrastructure for small and medium producers. In particular, AgroInvest will work with rural landholders and producers raise their awareness of their land rights and facilitate the adoption of legislation needed to lift the moratorium on agricultural land sales. It will focus on increasing agricultural lending to small and medium producers, establish wholesale and regional markets, and strengthen the capacity of producer organizations and industry associations.
Business Development
Business Investments and Loans
The Western NIS Enterprise Fund (WNISEF) is an investment fund initially capitalized with $150 million by the U.S. Government. The Fund was established in 1994 to promote privatized and newly formed private companies and entrepreneurs in Ukraine, Moldova and Belarus. The Fund provides capital and management tools for restructuring and expanding private sector projects and attracting outside resources.
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Financial and Private Sector Development
Financial Sector Development Program (FINREP)
The FINREP project focuses on helping Ukraine recover from its current economic and financial crisis by establishing a sound, transparent, and resilient financial system. FINREP activities support legislators and regulators with the banking recapitalization and resolution process, help financial sector regulators implement risk-based supervision and regulate the private pension system, help build a domestic securities market as a source of stable long-term capital, and support vulnerable populations with debt restructuring and financial literacy campaigns. FINREP activities are closely coordinated with the donor community, particularly under the World Bank-USAID PTAP partnership.
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Commercial Law Project
The project helps Ukraine to develop legislation, commercial systems and practices that support a market economy. CLC concentrates on collateral law, bankruptcy and mortgages. It also focuses on the prerequisites for commercial systems, including enforcement of contracts and judicial decisions, a fair and transparent regulatory regime, and a legal environment conducive to foreign investment.
The project activities seek to: 1) improve commercial legislation; 2) increase capacity of legal professionals, businesses, and the general public to use the commercial legal system; 3) make information on commercial laws, cases, procedures, and best practices more widely available; 4) improve the system of judicial enforcement; 5) introduce an operational registry of judicial decisions for the commercial courts; and 6) introduce an automated case management system in the commercial courts.
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Infrastructure
Municipal Heating Reform Project
The Municipal Heating Reform project is helping create a financially viable and sustainable municipal heating sector able to deliver reliable and efficient services to Ukraine’s citizens, public institutions and local industries. Specifically, it focuses on strengthening the legal, regulatory, and institutional framework to improve heating services to customers; improving tariff regulation and methodology; educating the public and government officials on these matters; enhancing the capacity of municipalities to plan, manage, and fund the development of the heating systems; and improving energy efficiency in residential and municipal buildings. By promoting and facilitating the creation of condominium and home-owner associations, USAID’s MHR project seeks to improve collective condominium management and increase homeowners’ financial responsibility. The project’s comprehensive public awareness campaign encourages citizens to take an active personal role in energy saving and to contribute to the country’s energy independence.
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Cooperation in Research and Education in Science and Technology (CREST)
The CREST Center for Energy Efficiency, selected through a peer-reviewed competition among Ukrainian universities, is developing innovative solutions and new technologies for energy conservation and efficiency while educating young scientists in this important field. Areas of concentration include alternative energy, fuel cells, industrial and residential energy efficiency, and sustainable and renewable energy sources. By integrating research and higher education to focus on energy efficiency, the CREST Center is directing the attention of students and professors alike to developing cutting-edge practical solutions and technologies to improve energy conservation and efficiency. The Center is also providing information and training on best practices in energy use that can be applied throughout the country and provide long-lasting results. It is doing so while helping the country develop its latent university research capacity and revolutionizing its approach to science education for students and young scientists.
Read more about Cooperation in Research and Education in Science and Technology (CREST) Project.
Partnership for Cleaner Energy in Ukraine Project
The goal of the three-year Partnerships for Cleaner Energy in Ukraine project is to promote energy saving and CO2 reduction in Ukraine. The project will build the capacities of local government and business to design, evaluate, implement, and measure community-driven energy efficiency and CO2 emissions reduction strategies and projects. The activity will be initially implemented in the Dnipropetrovsk Oblast through a GDA approach to establish sustainable partnerships between local government and businesses and equip them with knowledge and skills to identify and implement joint energy saving and CO2 reduction initiatives. From this experience, a local public-private partnership model will be developed, tested and disseminated for replication in other regions of Ukraine.
Public-Private Partnership (PPP) Development Program for Ukraine
The Public-Private Partnership (PPP) Development Program for Ukraine promotes a public-private partnership model of collaboration, with a focus on private sector funding and operational expertise, to improve infrastructure and public services in both urban and rural areas. The program activities are centered on: 1) legal and institutional reforms; 2) establishing a national public-private partnership unit that connects government and private sector interests; 3) training government and private sector representatives on Public-Private Partnership projects design and implementation, and informing public on the PPPs impact for social and economic development 4) developing and implementing PPP pilot projects.
Local Governance
Development Initiative for Advocating Local Governance in Ukraine (DIALOGUE) Project
The DIALOGUE project is helping build the environment for local government reforms and ensure broad-based support for decentralization among Ukrainian public servants, civil society organizations, and the public. The project seeks to create an equitable dialogue between local governments and the central government, and expand the legal and institutional framework for sustainable development of local territorial communities in Ukraine.
Read more about Development Initiative for Advocating Local Governance in Ukraine (DIALOGUE) Project.
Municipal Finance Strengthening Initiative (MFSI) Project for Ukraine
The project assists municipalities with planning and financing development of municipal utility companies by applying fiscal decentralization, improved intergovernmental transfers and public finance management. At the national level, the project is working on improving the legislative and regulatory framework to enhance cities’ creditworthiness and develop their ability to attract budget, debt and equity financing for infrastructure development. At the local level, the implementing partner is training municipality personnel and providing them with technical assistance in capital budget planning based on performance program budgeting.
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Trade and Investment
Local Investment and National Competitiveness (LINC)
The Local Investment and National Competitiveness (LINC) project is helping to increase competitiveness in cities and economic regions by improving business conditions and practices at both the local and national level. The project activities include: promotion of economic reform at the national level; support for economic development and competitiveness strategic planning efforts in cities and economic regions; alleviation of administrative and regulatory barriers to investment and exports; fostering of investment and public/private partnerships; acceleration of efficient trade integration; and development of a local-level unified property registry. The project works closely with government agencies, local enterprises, and potential investors to bring growth and investment and jobs to local communities. Positive changes in economic development of these communities are expected to influence positively the national competitiveness of Ukraine.
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