Promoting entrepreneurship among the conflict-affected population in Ukraine (phase 2)

Project background:

The conflict in eastern Ukraine has resulted in widespread disruption to economic activity, the loss of livelihoods and employment, and a deteriorating macroeconomic environment.  Moreover, small and medium enterprises in Donbas reduced their economic activity by up to 90 percent, leading to similar percentage of job losses.

Promoting job creation is a challenge even in an otherwise favorable environment and far more so in the post-conflict zone. The “conflict economy” deviates public and private assets from their legitimate social and economic use, giving rise to illicit marketeering and contracts.  In such a situation, it is extremely difficult for internally displaced people to find jobs, as employers believe that they are not interested in long-term employment. The main challenge for the post-conflict employment policy is to affect the transition from aid-supported employment generation to sustainable, unsubsidized private (and public) sector job growth. Therefore, the project aims to contribute to local economic recovery efforts in eastern Ukraine by promoting and supporting self-employment (entrepreneurship) initiatives among the conflict-affected population through advocacy, skills training and assistance in setting up businesses.

Project objective:

The project aims to contribute to the sustainable recovery of living standards among the conflict-affected population by promoting entrepreneurship, supporting business skills development, providing grants for starting micro-enterprise and expanding business support services.

Expected results:

- at least 200 IDPs and representatives of host communities provided with new professions/skills through training programmes;

- at least 40 MSMEs supported financially and, as result, extended their production and created new jobs;

- at least 180 new jobs created within new businesses (incl. self-employed, micro, small and medium-sized enterprises) within existing businesses that have expanded operations;

- at least 30,000 representatives of project’s target groups reached by partnership building/motivation campaign.

Key results to date:

Training Programme on Entrepreneurship for 292 IDPs and residents of Donbas (129 men, 163 women);

44 business initiatives supported through the project’s Small Grants Program out of 948 submitted applications, making the process highly competitive;

- 150 new jobs created within new businesses (incl. self-employed, micro, small and medium-sized enterprises) within existing businesses that expanded operations;

East Expo 2017 in Kyiv to facilitated business partnerships, ensured visibility and promoted the expansion of 85 Donetsk and Luhansk enterprises outside the local area;

16 short videos featuring the success stories of the grantees were developed and publicly presented at the Kyiv Cultural Center Cinema.

Impact

START DATE

March 2017

END DATE

December 2025

STATUS

Ongoing

PROJECT OFFICE

Ukraine

IMPLEMENTING PARTNER

United Nations Development Programme

DONORS

DEUTSCHE GESELLSCHAFT FUR INTERNATIONALE

Dept of Forgn Afrs Trade & Dev

EUROPEAN COMMISSION

European Investment Bank

GOVERNMENT OF DENMARK

GOVERNMENT OF JAPAN

GOVERNMENT OF NETHERLANDS

GOVERNMENT OF POLAND

GOVERNMENT OF SWITZERLAND

GOVERNMENT OF UNITED KINGDOM

SWEDISH INT'L DEVELOPMENT COOPERATION

UNITED NATIONS DEVELOPMENT PROGRAMME

US Department of State

Unspecified

TOTAL CONTRIBUTIONS

$130,467,521

DELIVERY IN PREVIOUS YEARS

2017$1,564,023

2018$3,442,471

2019$14,460,105

2020$26,719,148

2021$26,878,239

2022$23,260,955

2023$16,418,745

2024$2,925,495

Full Project information