Problems and needs of Ukrainian small and medium-sized enterprises in the war conditions

Small and medium-sized enterprises (SMEs) are one of the most important components of the Ukrainian economy. In 2021, SMEs generated about 60% of national GDP, provided about 7 million jobs and accounted for 40% of tax revenues. In the face of a full-scale Russian invasion, SMEs continue to be an important factor of the country's resilience.

SMEs are paying taxes that Ukraine uses for security and defense needs. This is very important in the context of existing restrictions on the government's use of international financial assistance for military needs.

Moreover, research on IDPs' needs shows that the need for employment is extremely relevant for IDPs. Jobs allow millions of Ukrainians to integrate into communities in their new place of residence, earn money to provide for their needs and feel at least some confidence in the future. SMEs play a major role in job creation, which emphasizes the role of SMEs as a factor of national resilience.

We are pleased to present you an analytical report based on the research conducted by the Ilko Kucheriv Democratic Initiatives Foundation, which analyzes the key needs and problems of Ukrainian SMEs in the context of the war and offers conclusions on how to promote the resilience of SMEs themselves.

This analytical report is the result of a project of the Ilko Kucheriv Democratic Initiatives Foundation, implemented with the support of the Friedrich Naumann Foundation for Freedom in Ukraine. The report presents the results of the authors' research. The study results do not necessarily reflect the position of the Office of the Friedrich Naumann Foundation for Freedom in Ukraine.