Unemployed Can Get Almost UAH 100,000 for a Business at 0% — Ministry of Social Policy

Under certain conditions, the funds do not have to be repaid.

Starting January 1, 2022, low-income unemployed people will be able to receive interest-free financial assistance from the state to start their own business, reports the Ministry of Social Policy. 

The aid will be provided under a new budget program to support the economic independence of low-income families (Helping Hand).

The state budget for next year, adopted by the Verkhovna Rada, allocates about UAH 100 million for this program.

Interest-free financial aid of up to 15 minimum wages (as of the start of 2022, UAH 97,500) can only be used to pay for equipment and materials needed to set up one’s own business. 

After three years of entrepreneurial activity, the aid must be repaid.

Notably, the amount to be repaid is reduced by the amount of taxes and the unified social contribution paid over three years. 

To receive financial aid, one must apply to the employment center at their place of residence. In addition, a certificate confirming no criminal prosecution or criminal record and a business plan for the future business must be submitted to the employment center.

If needed, employment center staff will help develop a business plan, provide program participants with business consultations, and organize free professional training for them.

The program was developed by the Ministry of Social Policy based on the “successful experience” of the pilot project “Helping Hand”. 

The ministry implemented it in 2016–2019 in Lviv, Poltava and Kharkiv regions and three territorial communities of Zhytomyr, Donetsk and Chernihiv regions, with support from the World Bank under the project “Modernization of the Social Support System for the Population of Ukraine.”