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U-LEAD experts discussed the process of business relocation with the communities of Lviv region

U-LEAD with Europe continues to help communities work effectively in war. Recently, an information session was held for specialists of Lviv region communities on relocation of business from the regions where hostilities are taking place.

The event was organized by the team of the Regional Office “U-LEAD with Europe” in Lviv region together with the Department of Economic Policy of the Lviv Regional Military Administration.

“Business relocation is a complex process that requires flexibility from local governments and businesses. We are all currently experiencing a serious crisis, but at the same time it is a potential opportunity for development. We have worked a lot with local communities and we know that they have a lot of vacant land or real estate, which can now be used and turned into an effective resource for attracting relocated business, “said Halyna Khrushchak, head of the U-LEAD Regional Office in Lviv region.

According to Stepan Kuybida, director of the economic policy department of the Lviv Regional Military Administration, from the first days of the war it became clear that there are many enterprises and businesses in Ukraine that are of strategic importance. It was then that the process of relocating business to the western regions of Ukraine began.

“We have established a mechanism that allows you to process applications from businesses as quickly as possible. Prior to that, we had a database that provided information on the resources of local communities. We created a Telegram channel on which we placed received inquiries from businesses. In this way, we quickly received the necessary information from communities that are ready to accept such a business, “said Stepan Kuybida.

Stepan Kuybida said that about 30% of relocated businesses in the Lviv region transported property on their own, which was quite expensive. Part of the business used property transportation services provided by the state through Ukrzaliznytsia and Ukrposhta.

According to the official, 132 enterprises have moved to Lviv region, of which 100 are already operating. Most businesses are relocated to Lviv district. The key factors in this were the activity of territorial communities, which proved their superiority. UAH 50 million has been allocated in the regional budget to support business. The relocated business will receive UAH 100,000 when re-registered in the Lviv region, and an additional UAH 100,000 when creating new jobs.

“Local governments can and should play the role of a kind of” investment nanny “for business, then it will be their advantage over others. Communities need to have information about human resources and be able to provide additional housing preferences for businesses. It is important to communicate with business through the regional military administration, it will give results, “the official stressed.

U-LEAD Decentralization and Local Government Adviser Yulia Polishchuk told the participants of the information session about business assistance that local governments can provide. According to her, this primarily concerns the provision of preferential conditions for the lease of communal property and the creation of comfortable conditions for business, which may include extraordinary consideration of applications to the CNAP, concluding agreements with family doctors, placing children in kindergartens and more.

Dmytro Prokopets, U-LEAD with Europe Adviser on Municipal Finance and Management, shared the best business support programs already in place in various fields. At the end of the event, Andriy Pohoriliy, U-LEAD Decentralization and Local Government Adviser, told community members about the business relocation algorithm, which includes land, lease, tax, labor, documentary and other aspects.

Ukraine’s U-LEAD with Europe program for local empowerment, accountability and development is co-financed by the EU and its Member States Germany, Poland, Sweden, Denmark, Estonia and Slovenia to support Ukraine in its efforts to strengthen local municipality. U-LEAD promotes transparent, accountable and multilevel governance in Ukraine that meets the needs of citizens and empowers communities.

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