State to reimburse up to 80% of industrial park restoration — up to UAH 200 million per project
The Cabinet of Ministers updated the support mechanism: parks damaged during shelling will be able to receive up to UAH 200 million for infrastructure restoration. We examine what the conditions are, who stands to benefit, and how this will affect jobs and investment in the regions.
By Tetiana Suchkova-Ladik
March 13, 2026 · 2 min read
In Brief
The Cabinet of Ministers has changed the rules of state support for industrial parks to speed up the restoration of infrastructure damaged by Russian attacks. The state will compensate up to 80% of costs, but no more than 200 million UAH per park, — said Prime Minister Yuliia Svyrydenko.
"The state will compensate up to 80% of the restoration cost, but no more than 200 million UAH for one park"
— Yuliia Svyrydenko, Prime Minister
What Specifically Changed
Previously, the preferential 80/20 co-financing mechanism was applied mainly to de-occupied communities. It has now been extended to frontline territories. This means more parks in high-risk areas will be able to receive a substantial state contribution to infrastructure restoration.
Conditions for Receiving Funds
To be eligible for compensation, the applicant must self-finance part of the work and meet several key conditions. These include commissioning at least 5,000 sq. m of industrial space within three years and attracting at least two processing enterprises. Applications must be submitted no later than six months after the facility was damaged.
Economic Rationale and Social Effect
The government aims not just to restore buildings but to get businesses back to work. According to the Cabinet's estimates, one hectare of an industrial park yields on average about 50 new jobs, and each hryvnia of state investment in infrastructure can multiply private investment (the government cites a benchmark of $1 → $6). International practice shows that a hectare of park can generate $7–10 million in annual turnover — an important argument for investors.
"We expect industrial parks to become a driving force for regional economic growth and the return of jobs"
— Ministry of Economy of Ukraine
On-the-Ground Experience: Sparrow Park Lviv
An example is Sparrow Park Lviv: after a massive attack the park's team began restoration, and most tenants continued operating. Cases like this should serve as an indicator: the state provides resources, but the speed and effectiveness of recovery depend on park management and the willingness of businesses to invest.
What to Expect Next
For the average resident this does not mean an instant change, but a gradual restoration of jobs and local supply chains. For the state budget — it is a tool that can multiply private investments. The program's success will depend on three factors: timely submission of applications, transparency in project selection, and the private sector's readiness to invest in infrastructure.
Conclusion
The new rule is a practical step to preserve production during wartime and a signal to investors that the state intends to support recovery. Now the key question is whether the funds will turn into real production sites and jobs in the regions. The answer depends on the cooperation of the government, local authorities, and business.
