Ivano-Frankivsk region attracted $900 million in investments: who invests and why.

Especially after the signing of the Association Agreement, which significantly simplified trade relations between Ukraine and the EU, and became a stimulus for the influx of investments. Primarily to regions located near the European Union.

In the industrial structure of the Ivano-Frankivsk region, 41% is occupied by energy generation, 14.7% by the chemical industry, 11.3% by the woodworking industry, 5.2% by the production of food products, beverages and tobacco products, and almost 5% by machine engineering.

The Ivano-Frankivsk region has no land borders with other countries, yet the distance to crossing points with Romania, Poland, Slovakia and Hungary is 200-300 km. The region has an international airport in Ivano-Frankivsk, with a passenger flow reaching 113,000 people in 2018, while the nearest large airport is located in Lviv, which is much more convenient for logistics than the local one. The region is connected to other large cities in western Ukraine by an extensive network of highways and railways.

Among the largest companies in the region with foreign investments is the Leoni plant, which produces electronic components for cars and is owned by the German company Leoni.

Among the enterprises that appeared in the region in 2017-2019 are the Unibruk concrete plant, a new line of the Ivano-Frankivskcement cement plant, and solar power plants Alpha-Energy and Sun West Energy.

The volume of exports per capita in the region is 44% lower than the national average. The gross regional product per capita is 32% lower than the national average, while the wage level in the region is 23% lower than the national average.

The regional authorities do not use the development budget to stimulate investments in the region – it amounts to 0 UAH per capita in 2019.

According to the Ivano-Frankivsk Regional State Administration, over $900 million in direct foreign investments have been made in the region. Of this amount, 75% is invested in the region's industrial enterprises. The Ivano-Frankivsk region has an investment passport approved by the regional council in 2018.

The most attractive sectors for investment in the region are agriculture, processing and extraction industries, energy generation, as well as assembly manufacturing oriented towards EU markets.

After signing the Association Agreement between Ukraine and the EU, the Ivano-Frankivsk region felt an influx of foreign investments. The region is attractive for industrial enterprises, especially in agriculture, processing and extraction industries. And although exports and the wage level here still need to be improved, the presence of foreign investors indicates the potential for further development.