On August 23, on the eve of Ukraine’s Independence Day, Lviv IT Cluster held a meeting with an American delegation in Lviv. Colleagues from the Center for International and Strategic Studies (CSIS) visited Ukraine together with advisors to senators from 8 states of the USA. During the meeting, the current state of the Ukrainian economy was discussed, along with the role of the tech industry in exports and supporting the economy during times of war. Strategies for post-war reconstruction and economic growth in Ukraine were also explored.
Lviv IT Cluster, the largest tech association in Ukraine, shared its research findings and provided the American colleagues with up-to-date data regarding the country’s economic situation, as well as the structure of export revenues from the tech sector. The role of international support in the state budget was also discussed: as of the first half of 2023, nearly 37% of Ukraine’s budget was financed through international aid, with 23% of that aid coming from the United States. By the end of 2023, external funding for Ukraine’s budget could reach up to $42 billion.
The American delegation consisted of advisors to 8 U.S. senators representing both political parties – Republicans and Democrats – as well as representatives from the Center for International and Strategic Studies. The delegation was interested in exploring ways for further military and non-military support to Ukraine in the current situation. One of the key topics of the meeting was the role of the tech sector in the economy and exports. In 2022, IT exports amounted to $7.35 billion. Despite the ongoing war, the industry showed growth of almost 6% in the course of the last year. More than 40% of Ukrainian computer services exports, specifically software development services, are directed to the United States. Furthermore, the tech sector actively supports the Ukrainian Armed Forces. In 2022, tech companies donated over $41 million, while individual donations from industry professionals amounted to $193 million.
“Despite the full-scale war in Ukraine, economic forecasts remain cautiously optimistic. In 2023, Ukraine’s GDP has grown by 20% compared to the same period in 2022 according to data from the Center for Economic Strategy. Ukraine continues to receive international support, both military and economic, which has positive implications not only for our side but also for our partner countries. According to research, investing $1 in military aid to Ukraine by other countries generates an additional $0.8 to the GDP of these countries in the perspective of 1-2 years,” says Stepan Veselovskyi, CEO of Lviv IT Cluster.
In response to Russia’s full-scale invasion of Ukraine, the Lviv IT Cluster community initiated a series of Victory projects focusing on three main directions: sky defense, border security, and rehabilitation for people impacted by the war. Within 18 months from the moment of invasion, the Lviv IT Cluster accumulated and directed $2.5 million to these projects. Of these funds, $500,000 were allocated for sky defense in 8 regions of Ukraine as part of the SKY project, while $266,000 were dedicated to establishing centers for psychological rehabilitation for both military personnel and civilians. In the upcoming autumn, with the support of Lviv IT Cluster, the Mental Health Center will be opened, catering to children and teenagers. These remarkable initiatives highlight the significant role of the Ukrainian tech community in approaching victory, showcasing responsibility and resilience within the tech business.
Despite the ongoing war, the Lviv IT Cluster community continues to grow, attract new companies, and initiate projects crucial for the industry and the country. Fostering international collaboration is a key focus in the immediate future for Lviv IT Cluster’s initiatives.
On August 23, on the eve of Ukraine’s Independence Day, Lviv IT Cluster held a meeting with an American delegation in Lviv. Colleagues from the Center for International and Strategic Studies (CSIS) visited Ukraine together with advisors to senators from 8 states of the USA. During the meeting, the current state of the Ukrainian economy […]https://itcluster.lviv.ua/wp-content/uploads/2023/08/v_novynu-1.png