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.



Project start date:

March 2017

Estimated end date:

July 2022

Focus area:

  • build resilience to shocks and crisis
  • eradicate poverty in all its forms and dimensions
  • Project office:

    UNDP in Ukraine

    Implementing partner:

    United Nations Development Programme

    Full project information  

    Funding Support by

    Donor name

  • European Commission
  • Swedish International Development Cooperation (sida)
  • Government Of United Kingdom
  • Department Of Foreign Affairs
  • Trade And Development
  • Government Of Japan
  • Government Of Denmark
  • Deutsche Gesellschaft Für Internationale Zusammenarbeit
  • Government Of Netherlands
  • Government Of Switzerland
  • European Investment Bank
  • Government Of Poland
  • Us Department Of State
  • Office To Monitor & Combat Tracking In Persons.
  • Amount contributed


    Delivery in previous fiscal year

    2021 $7,761,542

    2020 $26,719,148

    2019 $14,460,105

    2018 $3,442,471

    2017 $1,564,023

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