Increasing the localization of defense production will be a driving force for the growth of the Ukrainian economy. This can be achieved in the short term. This opinion was expressed by the First Deputy Prime Minister of Ukraine – Minister of Economy of Ukraine Yulia Sviridenko during a meeting with Vice President of the U.S. Institute of Peace William Taylor on March 12.

The meeting was attended by Deputy Ministers of Economy of Ukraine Oleksiy Sobolev, Ihor Bezkaravainyi, and Ihor Fomenko, Minister of Strategic Industries of Ukraine Oleksandr Kamishin, a representative of the Ministry of Foreign Affairs, and from the U.S. delegation – representatives of the U.S. Institute of Peace.

“Ukraine has several important tasks to stimulate economic development. Firstly, covering the budget deficit, and secondly, attracting investments in Ukrainian businesses. This balance can be achieved through the localization of all production in Ukraine. At the same time, the Government is focused on localizing the production of defense industries. Recently, we have already begun producing heavy machinery for demining 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 manufacturers,” noted Yulia Sviridenko.

The Government is making efforts to stimulate investment in the private sector, including through insurance programs, which Ukraine is implementing together with international partners such as the EBRD, EIB, IFC, and export credit agencies of various countries. By increasing the volumes of local production, the Government is not only oriented towards domestic consumption but also towards diversifying exports, so direct financing and export support guarantees will ensure Ukraine’s economic development in the short term.

The First Deputy Prime Minister of Ukraine emphasized that Ukraine needs expert support and coordination from American colleagues in government initiatives, including projects to support small and medium-sized businesses, international assistance, and so on.