Localization of defense industry will help stimulate the economy - Svyrydenko
Kyiv • UNN
The Ukrainian government plans to stimulate economic growth by increasing the localization of defense production and supporting domestic producers through the "Made in Ukraine" program and investment incentives.
Increasing the localization of defense production will drive the growth of the Ukrainian economy. This was stated by First Vice Prime Minister and Minister of Economy of Ukraine Yulia Svyrydenko during a meeting with Vice President of the United States Institute of Peace William Taylor, UNN reports.
Details
Yulia Svyrydenko emphasized that Ukraine has several important tasks to stimulate economic development, the main ones being to cover the budget deficit and attract investment in Ukrainian business.
This balance can be achieved by localizing all production in Ukraine. At the same time, the government is focused on localizing defense production. We have recently started producing heavy demining machines and will continue to produce everything our army needs
To strengthen the localization process, the government is implementing the national program "Made in Ukraine" aimed at supporting Ukrainian producers. In addition, investments in the private sector are stimulated through insurance programs that Ukraine is implementing together with international partners such as the EBRD, EIB, IFC, and export credit agencies of different countries. It is noted that by increasing the volume of local production, the government focuses not only on domestic consumption but also on export diversification, as direct financing and export support guarantees will ensure Ukraine's economic development in the short term.
Yulia Svyrydenko emphasized that Ukraine needs expert support and coordination of American colleagues in government initiatives, including projects to support small and medium-sized enterprises, international aid, etc.
Recall
Ukraine's defense sector includes about 500 companies that design, manufacture, repair, and maintain everything that helps the Defense Forces. In 2023, the Ukrainian defense industry produced three times more than in 2022, and the capacity for 2024 is 6 times higher than last year.
