Cabinet to OK 10 strategic FDI projects

The Government of Ukraine will review 10 strategic investment projects at its next session, intended to draw foreign direct investment (FDI). Director of Ukraine’s National Agency for Foreign Investment and Development Serhiy Taran announced this Dec. 28 at a press conference in the Cabinet of Ministers. The list of projects was prepared by the Interagency Expert Group in accordance with the Cabinet of Ministers Instruction “On strategic economic development investment projects.”

“Using an open, ratings-based selection system, we have put together a list of 10 investment proposals. These are all projects that will be used as a basis for drawing foreign direct investment in the upcoming year, as approved by the Government,” said Mr. Taran.

As a result, he added, a number of programs will be put on the agenda of the Cabinet’s Wednesday session: a program to construct solid household waste reprocessing plants in Ukrainian cities; a program to build industrial parks in the regions; and a program to modernize and finish the construction of thermo-electric stations. At this session, the Cabinet will consider an International Project to Establish a Tsyklon 4 Space Rocket Complex, a project to build a flight control center in Kyiv Oblast, and a project to build a rapid-transit system (1,435-mm track) from the Polish border to the City of L’viv called Yevrokolia (Eurorail). This last project is part of the State Targeted Program of Preparations for EURO 2012.

A number of other projects will also be submitted for Cabinet review: a project to manufacture MW-class power-generating windmills at the Makarov Pivdenmash Manufacturing Union, a state enterprise; a project to modernize and expand the Illichivsk Merchant Marine Port, and a project to establish a rapid-transit link between the City of Kyiv and Boryspil (Kyiv) International Airport. Mr. Taran noted that two more projects are also both urgent and unique for Ukraine: the building of a blood plasma fractionalizing facility and setting up a system for providing blood components.

“All these projects have been selected using strictly-defined criteria and following the recommendations and requirements of international agencies provided by international experts,” the Agency’s director noted. He considers these projects a strategic priority for Ukraine in 2010 for drawing foreign investment.

“We are confident that this mechanism will be a new, effective way to attract foreign investment to Ukraine,” said Mr. Taran, adding that if Ukraine can undertake these projects in 2010, it will return to pre-crisis levels of FDI inflows. “I think we could be looking at a minimum of US $10 billion in foreign investment.”

Tags: FDI