MSME Alliance Launched in Kyiv to Strengthen Public-Private Dialogue

Government and business leaders stress that institutionalized public-private cooperation is foundational for good governance and EU accession.

November 7, 2025
Grand conference hall with ornate ceiling, audience seated before a stage and projection screen.
Photo: Dmytro Holovchenko / UNDP Ukraine 

Kyiv, 7 November 2025 — A forum focused on the future of micro, small, and medium-sized enterprises (MSMEs) brought together Ukrainian government officials, international partners, and private sector representatives. 

Titled “Dialogue between Government and Business: Opportunities and Challenges for MSME Development,” the event was organized by the Ukrainian Business Council. It was held under the Swiss-Ukrainian project, “Strengthening MSME Business Membership Organizations in Ukraine,” which is implemented by the United Nations Development Programme (UNDP) in cooperation with the Ministry of Economy, Environment and Agriculture of Ukraine, and with financial support from Switzerland.

The forum served as the launchpad for the Alliance of Business Associations of Micro, Small, and Medium-Sized Enterprises (MSMEs). This new institutional body is designed to create a structured platform for public-private dialogue. The alliance is already a formidable platform, uniting 17 coalitions that represent over 457 business associations and hundreds of thousands of entrepreneurs across Ukraine. Its goal is to strengthen the voice of MSMEs in policymaking and ensure that their needs are directly reflected in national economic reforms.

Participants at the forum engaged in a discussion covering the challenges of wartime, the necessary recovery of the Ukrainian economy, and the critical importance of access to finance, markets, and human capital. The conversation was grounded in facts and evidence provided by several studies. For instance, the latest UNDP Rapid Damage and Needs Assessment estimates that Ukraine’s recovery needs will surpass USD $524 billion over the next decade alone.

A separate UNDP study detailing the impact of the war on MSMEs revealed that a mere 17% of businesses currently rate their financial condition as good or excellent. This low figure is compounded by several significant challenges: an unpredictable regulatory environment, severely reduced market demand, ongoing workforce shortages, and limited access to necessary finance.

Oleksandr Tsybort, Deputy Minister of Economy of Ukraine for Digital Development, Digital Transformations and Digitalisation, addressed the challenges facing the private sector.

“We understand that war has placed entrepreneurs in extremely challenging circumstances – from the loss of markets to shortages of capital and skills,” Tsybort said. “The ministry is advancing digital solutions and deregulation to simplify doing business. But we can do this effectively only through direct cooperation with businesses.”

Irene Frei, Deputy Head of Private Sector Development at the State Secretariat for Economic Affairs of Switzerland (SECO), highlighted the long-term partnership.

“Switzerland has been providing support in Ukraine for more than three decades," Frei said. "We are seeing how small and medium-sized businesses significantly contribute to the economic resilience in times of crisis. Public-private dialogue builds transparency, predictability, and trust to build a stronger private sector. Today’s Forum marks another important step toward long lasting results through an effective partnership between the state and entrepreneurs.”

Christophoros Politis, UNDP Deputy Resident Representative in Ukraine, stressed the foundational role of the discussion mechanism.

“Public-private dialogue is not just a consultation tool – it is a foundation of good governance,” Politis said. “The institutionalization of dialogue ensures that business realities and evidence-based data guide decision-making. This is a necessary condition for Ukraine’s movement toward the European Union.”

Grigol Katamadze, President of the Association of Taxpayers of Ukraine and Member of the Supervisory Board of the Ukrainian Business Council, emphasized the private sector’s resilience.

“Ukrainian businesses have proven their ability to unite and act together, even in extremely difficult circumstances,” Katamadze said. “We strive for fair rules of the game and predictability. Institutionalized dialogue is essential for small businesses to grow – not merely survive.”

Roman Vashchuk, Business Ombudsman of Ukraine, stressed the need for the practical implementation of policies.

“It is crucial that positive decisions shaped together with business are reflected in practice – including inspections, sanctions, and oversight,” Vashchuk said. “When state institutions interact with business as partners, development becomes possible.”

Hanna Strykun, Head of the National SME Platform, presented the new alliance and outlined its commitment.

“The alliance was created to ensure that the voice of entrepreneurs is heard at all levels,” Strykun said. “We offer the government constructive cooperation, accountability, and professional expertise to support policies that will secure Ukraine’s economic future.”

Media inquiries:

Yuliia Samus, Head of Communications and Advocacy, UNDP Ukraine, yuliia.samus@undp.org