Ukrainian Startup Fund allocates almost US$3 mln for domestic projects – ministry

Deputy Ministers of Digital Transformation of Ukraine Oleksandr Bornyakov says the Ukrainian Startup Fund (USF) has allocated almost US$3 million for the development of Ukrainian startup projects.

"Startups have received almost US$3 million in the first year of the Ukrainian Startup Fund's grant support activities. As for me, this is an excellent result of a newly created but effective foundation, and this is just the beginning," the official wrote on Facebook on December 3.

Read alsoEU to allocate almost EUR 10 mln for digital ministry's projectsBornyakov added that in the first year of its operation, the Fund received 2,553 applications, of which 972 are at the pre-seed stage (the first stage to attract external funding) and 1,581 are at the seed stage (Stage 2 where investment comes to startups that have already a team and being developed). In total, 74 startups were selected for grant funding during the said period.

In addition, the Digital Transformation Ministry is creating special conditions in the Diia.City virtual free economic zone so that startups could emerge and rapidly develop in Ukraine.

Background

In November 2018, the then Ukrainian Prime Minister Volodymyr Groysman's Cabinet adopted a decision on the creation of the Innovation Development Fund. In July 2019, the Ukrainian Startup Fund was officially launched in the country.

In December 2020, the Cabinet of Ministers announced the start of accepting entrepreneurs' applications for financing by the Fund.

Memo

The Ukrainian Startup Fund is a government foundation established on the initiative of the Cabinet of Ministers.

UFS's mission is to support innovative projects and help Ukrainian entrepreneurs create successful global businesses.

The foundation provides grants to companies and individual entrepreneurs in the early stages of their development (pre-seed and seed).