Small and medium-sized enterprises (SMEs) are the lifeblood of Ukraine’s economy, representing around 95% of all businesses. Yet, in the midst of war, these businesses face unprecedented challenges, from disrupted supply chains to labor shortages and shifting regulations. Recognizing that SME resilience is critical not just for survival but for the country’s long-term recovery, Swisscontact Ukraine recently hosted a stakeholder consultation session titled “Strengthening the Competitiveness of Ukrainian SMEs.”
The session brought together government representatives, business associations, analytical centers, and international development programs to discuss the pressing needs of Ukrainian entrepreneurs. Poshan Bahadur KC, Country Director of Swisscontact Ukraine, stressed the importance of this dialogue:
Throughout the discussions, participants highlighted that SMEs not only create jobs and sustain local communities but also have the agility to adapt quickly to changing circumstances. Yet, their continued growth depends on reducing regulatory burdens, investing in human capital, and designing international support programs tailored to Ukraine’s unique wartime realities.
Oleksandr Tsybort, Deputy Minister of Economy, Environment, and Agriculture, emphasized the need for deregulation.
"Over the years of war, Ukrainian businesses have endured - some relocated, others changed their focus and adapted. War changes the rules of the game: those who adapt best survive. The key task for the state is to reduce regulations - deregulation is essential.”
The Ukrainian government has already begun implementing measures to streamline processes. Hanna Bashniak, Head of Regulatory Policy at BRDO, shared that abolishing the “act of completed works” will cut business costs significantly.
Yet, challenges remain. Olena Hemusova from the Union of Ukrainian Entrepreneurs highlighted shortages of skilled workers, security risks, and access to financing as persistent barriers, while emphasizing that European partners are ready to collaborate with Ukrainian SMEs. Oleksii Hrushetskyi, Office for Entrepreneurship Development, added that technical assistance projects must be carefully tailored, avoiding generic approaches from other countries. Swisscontact’s role is precisely in this niche, facilitating interventions that are practical, focused, and responsive to urgent needs.
The session concluded with collaborative group exercises to identify pressing challenges, risks, opportunities, and sectors with growth potential. Practical recommendations emerged, focusing on support mechanisms that strengthen SME resilience and accelerate economic recovery.
Swisscontact’s approach draws inspiration from global best practices, including Switzerland’s own economic success, emphasizing decentralization, forward-looking policies, and a strong vocational education system. By facilitating open dialogue, guiding practical interventions, and connecting SMEs with tailored support, Swisscontact helps ensure that Ukrainian entrepreneurs not only survive the crisis but are positioned to thrive in the future.