Business complains most about prices and access to electricity, outflow of personnel, consumers, 'shadow,' changing legislative field

Entrepreneurs operating in Ukraine have identified four main risks of operating in the country, but still remain optimistic, said EBA Executive Director Anna Derevyanko.

"If we talk about risks, I would highlight four key ones that European companies are currently facing – although I believe American and Ukrainian companies encounter them as well. The first is the issue of energy," she said during the Kyiv Security Forum on Monday.

Derevyanko noted that when it comes to electricity specifically, business operations are affected by both its availability and its price, as some companies report that electricity prices are already higher than in other countries.

The second risk, she said, is a shortage of personnel and shrinking markets due to declining consumption caused by people leaving the country – especially after permission was granted for men aged 18-22 to travel abroad – as well as due to mobilization.

The third challenge is the growth of the shadow economy, as, according to Derevyanko, its volume has reached UAH 500 billion.

"This is a concern for any business entity," she emphasized, adding that it affects most sectors of the economy.

The fourth and final issue Derevyanko identified was the volatile legislative environment, noting that clarity and predictability are essential for any business.

She stated that 99% of European Business Association (EBA) member companies are operating in Ukraine at full capacity, more than 70% expect revenue growth in hryvnias, and 55% in U.S. dollars.

In addition, 55% of companies plan to expand their business activities, and 20% of EBA members intend to invest in new projects.

For his part, Andy Hunder, President of the American Chamber of Commerce in Ukraine (AmCham), emphasized that even after missile attacks, 91% of AmCham member companies continue to operate and develop their businesses in Ukraine, although 54% of them have sustained damage.

Hunder also added that for most AmCham member companies, maintaining a transparent dialogue with the authorities is crucial so that businesses clearly understand what is happening.