Ukraine Establishes Entrepreneurship Support Council to Bolster Economy Amidst Martial Law

Introduction

In a bold move to reinvigorate the Ukrainian economy and alleviate concerns raised by businesses during martial law, President Volodymyr Zelenskyy has announced the creation of the Entrepreneurship Support Council. This council, composed of prominent business leaders and industry experts, aims to foster a collaborative environment between the government and the private sector, focusing on bolstering the economy and addressing challenges faced by Ukrainian businesses.

Key Developments

1.

Formation of the Entrepreneurship Support Council:

President Zelenskyy announced the establishment of the Entrepreneurship Support Council, which will comprise representatives from diverse industries, including technology, finance, and services. This council will serve as a platform for dialogue and cooperation between the government and businesses, facilitating the exchange of ideas and resolving concerns.

2.

Addressing Concerns of Businesses:

To address the concerns raised by businesses during martial law, the government will introduce amendments to the law on the Bureau of Economic Security and other relevant legislation to minimize any potential pressure on legitimate businesses. Additionally, a three-month de facto moratorium has been imposed on procedural actions that could disrupt business operations. An audit of the tax invoice risk monitoring system will also be conducted to ensure its effectiveness and fairness.

3.

Moral Contract between State and Business:

President Zelenskyy emphasized the importance of a moral contract between the state and businesses. Under this contract, businesses are expected to fulfill their tax obligations, operate legally, respect employees, and refrain from engaging in tax avoidance schemes. In return, the government commits to creating a conducive environment for businesses to thrive.

4.

Role of the Entrepreneurship Support Council:

The Entrepreneurship Support Council will respond promptly to complaints from entrepreneurs and work diligently to resolve urgent issues arising during martial law. The council will also make recommendations to various law enforcement agencies regarding ongoing criminal proceedings that could potentially harm the economy.

5.

Limiting Inspections by Law Enforcement Agencies:

To minimize disruptions to business operations, inspections by law enforcement agencies will be restricted for a period of three months, as recommended by the National Security and Defence Council. Searches, arrests, and account blocking actions that significantly disrupt business operations will be subject to review and approval.

Statements from Government Officials

1.

Yuliia Svyrydenko, First Deputy Prime Minister and Minister of Economy:

Clarifying the role of the Entrepreneurship Support Council, Yuliia Svyrydenko stated that the council will address complaints from entrepreneurs and tackle urgent problems during martial law. She also emphasized the need for businesses to fulfill their obligations by paying taxes, operating legally, respecting employees, and refraining from working with Russia.

2.

National Security and Defence Council Recommendation:

The National Security and Defence Council recommended that law enforcement agencies conduct an audit of registered criminal proceedings that could potentially pose a risk to the state’s economy. This audit aims to identify and mitigate any potential threats to economic stability.

Conclusion

The establishment of the Entrepreneurship Support Council and the measures announced by President Zelenskyy demonstrate the government’s commitment to supporting businesses and addressing their concerns during challenging times. By fostering dialogue, addressing regulatory issues, and limiting disruptive actions by law enforcement agencies, the government aims to create a conducive environment for economic growth and resilience during martial law. This collaborative approach between the government and the private sector is crucial for Ukraine’s economic recovery and long-term prosperity.