Article

In 2025, Ukraine enacted significant legal reforms to improve its investment climate, including a new public-private partnership (PPP) law effective October 31, 2025, designed to attract private capital for reconstruction and infrastructure projects. Key features of this law include a hybrid financing model and a streamlined approval process during martial law.

Continued currency liberalization allows foreign companies to repatriate dividends and service foreign debt, enhancing capital movement. Additionally, the establishment of a 'Defense City' regime offers tax incentives to attract investment in defense technologies.

In April 2025, Ukraine and the U.S. launched the U.S.-Ukraine Reconstruction Investment Fund to mobilize capital for reconstruction. Investors should monitor upcoming regulatory changes, including a proposed foreign direct investment (FDI) screening law and the implementation of secondary legislation for PPPs, as well as ongoing reforms aligned with EU standards, which aim to reduce regulatory risks and improve market access.