Ukrainian Government Proposes FDI Screening Law for Strategic Sectors

The Ukrainian government has submitted a bill to the Parliament for the establishment of a foreign direct investment (FDI) screening mechanism. This measure targets investments in sectors deemed critical for national security, including energy infrastructure, mineral extraction, and defense-related industries. The proposed legislation aims to safeguard Ukraine’s economic and strategic interests by enhancing oversight of foreign capital in sensitive sectors.

The bill outlines specific categories of FDI that will be subject to review, including investments in companies operating critical infrastructure, extractive industries, and those involved in the development, production, modernization, repair, transportation, disposal, or trade of military and dual-use goods. These criteria reflect the government’s focus on protecting Ukraine’s strategic assets from potential foreign influence or misuse.

By implementing a screening mechanism, the Ukrainian government seeks to ensure that any foreign investment in these sectors undergoes thorough evaluation to assess potential risks to national security, economic stability, and strategic autonomy. The legislation is part of a broader strategy to enhance Ukraine’s resilience against external pressures, particularly in the context of ongoing geopolitical tensions and the need to secure critical infrastructure.