New Law on the National Development Institution Strengthens MSME Support and Opens the Way for Deeper EU Integration — Valerii Maiboroda

At the ReBuild Ukraine conference in Warsaw, Valerii Maiboroda, First Deputy Chairman of the Management Board of the Business Development Fund, emphasized the importance of the newly adopted Law of Ukraine “On the National Development Institution” for advancing Ukrainian entrepreneurship.

👉 “The goal of the National Development Institution is to promote the economic and social development of the country by ensuring that MSMEs have access to financial, advisory, and informational support. The National Bank of Ukraine will oversee the institution’s activities,” Mr. Maiboroda noted.

The law defines the National Development Institution (NDI) as a second-tier financial institution and the Government’s official agent for implementing MSME support programs. This will strengthen coordination with ministries, standardize processes, and help eliminate duplication of support mechanisms.

One of the key innovations is the creation of a dedicated unit for program impact analysis and evaluation, which will provide the Government with high-quality analytics to improve existing tools and develop new business support programs.

As part of NDI’s strategic development, Maiboroda highlighted the “Vision: BDF 2.0” initiative, which includes:
✅ modernization of the Business Development Fund’s internal processes,
✅completing the EU pillar assessment for direct cooperation with the European Union,
✅raising capital through the issuance of securities.

These steps will significantly expand funding opportunities for MSMEs. Additionally, the formalization of NDI credit guarantees—recognized by the National Bank of Ukraine—will reduce the regulatory burden on banks and make lending more affordable for entrepreneurs.

🇪🇺 In the context of European integration, Gabriel Blank, Head of the Ukraine Reconstruction Team at the European Commission, highlighted that the newly adopted law represents an important institutional milestone that aligns Ukraine more closely with EU standards for financial instruments and development support.

👉 “The new law lays a foundation for deeper integration of Ukraine into the European financial architecture. Completing the EU pillar assessment will enable direct cooperation between the NDI and the European Union, allowing Ukraine to attract substantially more resources for MSME development,” Blank emphasized.

He added that strengthening the institutional capacity of the NDI is crucial for scaling EU-supported programs aimed at Ukraine’s recovery and economic growth.