Prime Minister Yulia Svyrydenko today announced a significant policy change that could bolster the defense and technology sectors in Ukraine. The Cabinet of Ministers has approved a measure allowing up to 10% of loan costs to be included in the pricing of state contracts for drone and electronic warfare (EW) manufacturers. This decision aims to reduce the financial burden on companies seeking to secure government contracts and encourage greater investment in advanced technologies.
The move comes at a critical time for Ukraine’s defense industry, which has been under immense pressure to develop and produce cutting-edge equipment amid ongoing security challenges. By incorporating loan costs into contract pricing, the government is effectively providing a financial cushion for manufacturers, enabling them to allocate more resources toward research and development. This policy is expected to enhance the competitiveness of domestic firms in both national and international markets.
Prime Minister Svyrydenko emphasized that the initiative is part of a broader strategy to strengthen Ukraine’s industrial base and ensure long-term technological independence. She highlighted that the inclusion of loan costs in contract pricing will not only support current manufacturers but also attract new players to the sector, fostering innovation and growth. The Cabinet’s decision reflects a growing recognition of the importance of financial flexibility in sustaining and expanding key industries during times of economic and geopolitical uncertainty.