As Ukraine enters the fourth year of full-scale war, the government continues reforms to stabilise the economy, expand financing, and attract investment. Recent steps include the U.S.-Ukraine Reconstruction Investment Fund, a new PPP Law, factoring legislation, and easing of FX restrictions. These measures aim to strengthen the financial framework and lay stronger foundations for recovery and growth.
U.S. – Ukraine Reconstruction Investment Fund
On September 17, 2025, the U.S. International Development Finance Corporation (DFC) and the Government of Ukraine launched the U.S.-Ukraine Reconstruction Investment Fund with USD 150 million in seed capital, equally contributed by both parties. The Fund aims to attract private and institutional investors into sectors such as natural gas, minerals, energy, technology, and infrastructure.
The seed capital commitment followed the Fund’s first board meeting, at which DFC was appointed Chair. Governance and valuation protocols were approved, enabling the crediting of preferred shares to the U.S. for new military aid to Ukraine. By the end of the year, the Fund plans to appoint an administrator, open bank accounts, and establish a Ukrainian subsidiary, with project calls expected in November.
The initiative is intended to catalyse broader investment, with co-financing anticipated from IFC and EBRD, and initial investments expected to commence in 2026.
New Law on Public-Private Partnerships (PPP)
On June 19, 2025, Ukraine adopted a new PPP Law, replacing the outdated 2010 framework and aligning with EU standards. It introduces hybrid financing that combines private, public, and donor funds, fast-track procedures for wartime and post-war recovery, and simplified project preparation for those under EUR 5.5 million. The law expands PPPs into healthcare, housing, energy, digital infrastructure, and defence, while strengthening investor protections through stability clauses, compensation mechanisms, and arbitration options. By unifying PPP and concession rules, it aims to mobilise private capital and accelerate reconstruction.
New Law on Factoring
On June 3, 2025, Parliament adopted the Law “On Factoring”, establishing a modern framework for receivables financing. Previously governed by fragmented Civil Code provisions, factoring often lacked legal certainty. The new law, aligned with the UNIDROIT Model Law, creates a state Factoring Register to enhance transparency, ensure priority of claims, and reduce fraud risks. It distinguishes factoring from NPL transactions and provides clearer rules for all parties. The reform is expected to benefit businesses, particularly SMEs, by improving access to liquidity and confidence in factoring.
Easing of the Moderation in Cross-Border Transactions
On August 5, 2025, tthe National Bank of Ukraine adopted Resolution No. 95, further easing wartime restrictions on currency operations. The amendments, effective from August 26, 2025, include, inter alia:
Material prepared by Olexiy Soshenko, Managing Partner, and Artem Mykhailyk, Junior Associate, for the 9th edition of LIR Ukraine (page 32).