Norway is investing around NOK 100 million through its Ukraine Fund to strengthen the flow of goods in and out of Ukraine. This marks the fund’s first investment in Ukraine.
The support will go toward increasing warehouse capacity in the M10 Industrial Park in Lviv, western Ukraine.
Since the war began, much of Ukraine’s trade has shifted from east to west. At the same time, the country’s logistics capacity has been severely reduced – not least because ports on the Black Sea are under constant attack. The lack of storage and logistics facilities in western Ukraine is particularly hindering trade and economic growth. Expanding the M10 Industrial Park will make it possible to establish an important transit hub toward Europe for importing goods to the Ukrainian population and exporting goods that generate income for the country.
“An important part of Ukraine’s resistance is keeping the economic wheels turning. The Ukraine Fund’s first investment is a good example of how the fund will contribute to this by investing in sustainable businesses and infrastructure projects,”
Åsmund Aukrust
Minister of International Development
M10 Industrial Park is already operational. The first construction phase is fully leased, and the park enjoys strong international support. The Ukraine Fund’s investment will help triple warehouse capacity. When fully developed, the park will offer up to 150,000 square meters of logistics space and serve as a central hub for goods entering and leaving Ukraine. The project is expected to support the creation of up to 3,000 jobs.
Since the government decided last year that Norfund would manage the Ukraine Fund, Norfund has established a dedicated Ukraine team that has worked to build an investment portfolio. The investment in the industrial park is the fund’s first investment and is being made together with a leading Ukrainian investment company, Dragon Capital.
“By investing in the M10 Industrial Park, we help create several thousand jobs, in line with our mandate to promote sustainable business and job creation in Ukraine,” said Norfund CEO Tellef Thorleifsson.
Facts
- The Ukraine Fund was established on December 19, 2024, and is managed by Norfund, the Norwegian Investment Fund for Developing Countries.
- Part of the Nansen Program, it received NOK 250 million in 2024 and NOK 250 million in 2025.
- Purpose: Contribute to the development of sustainable businesses and job creation in Ukraine.
- Support investments that would not otherwise be made due to high risk.
- Help mobilize private capital by encouraging private investors to invest alongside the fund or be inspired by it.