The “Brains and Grains” panel on Jan. 23 at the Ukraine House Davos, a side event at the World Economic Forum in Davos, Switzerland, addressed an important topic for Ukraine’s future: the country’s attractiveness to investors.
According to Johan Eliasch, Chairman and CEO of the Head Group, Ukraine has a lot to offer: good trade agreements, skilled people, a low-cost labor force, good infrastructure, and last, and perhaps surprisingly, political stability.
The Briton, who recently acquired a factory in the city of Vinnytsia, explained the paradox: “People think that (Ukraine) isn’t so stable because of Russia, but (as it turns out) there’sa Mexican standoff between the West and Russia – nothing is going to happen. (Ukraine) has the benefit at this moment of being cheap – it’s a good deal – the country is competitively priced.”
While such statements might seem controversial, Sarah Kunst – the managing director of Cleo Capital – agreed that Ukraine is an undervalued market that is overlooked by investors. She encouraged Ukrainians to seek U.S. investment because Americans are always on the lookout fora good deal – on the condition that over-regulation is not an obstacle.
And Nicholas Tymoshchuk, the CEO of the Ukraine Future Investment Group, sees opportunities for investment all across the Ukrainian economy.
A native Ukrainian and founder of Unit City, Ukraine’s first innovation park, Tymoshchuk says his goal is to invest in “Ukraine’s global competitiveness.” This, according to him, requires investing in every Ukrainian business that can put the country on the world map, whatever the sector: “media, renewable energy, information technology, manufacturing, pharmaceuticals or bio-pharmacy.”
“If we want the world to care about Ukraine, we need to bring value to it, and (take on) global values,” Tymoshchuk said.
The Ukraine House Davos, which opened on Jan. 21, runs until Jan. 25, at 62 Promenade in Davos, Switzerland. The event was organized by the Ukrainian Venture Capital and Private Equity Association, the Western NIS Enterprise Fund, the Victor Pinchuk Foundation, and Horizon Capital.
