In 2024, Ukraine sees a decrease in foreign direct investment by $1.16 billion, totaling $3.33 billion.

This was reported by the head of the tax committee of the Verkhovna Rada, Danilo Hetmantsev, referencing data from the National Bank.

Specifically, 71.6% of FDI consists of reinvested earnings from foreign investors in Ukraine ($2.38 billion). Compared to the previous year, the amount of reinvested earnings has dropped by 30%.

"The decrease is likely related to the easing of currency restrictions on cross-border transfers by the NBU, including dividend withdrawals that came into effect in the second half of last year," explains Hetmantsev.

At the same time, he noted a significant reduction in the volume of debt instruments due to a decrease in obligations to foreign investors – affiliated companies (primarily regarding trade credits).

As a result, Hetmantsev pointed out that the volume of accumulated FDI (stock) decreased by 0.7% ($0.38 billion) to $54.57 billion. This is 17% lower than the last year before the full-scale war (2021 – $65.75 billion).

"Accumulated FDI, when compared per capita with countries in Central and Eastern Europe, remains at a very low level. For instance, in Poland, which before the war could be considered comparable to us in terms of population, the volume of accumulated FDI is $335.5 billion (for 2023), which is 6 times higher," emphasized the deputy.

Reminder:

The inflow of foreign direct investment (FDI) into Ukraine amounted to $3.98 billion for the first 11 months of 2024, which is 14% less than the figure for the same period in 2023.