Actions on improving the system of Development and implementation of the regional policy in Ukraine

1. ACTIONS ON IMPROVING THE SYSTEM OF
DEVELOPMENT AND IMPLEMENTATION OF THE
REGIONAL POLICY IN UKRAINE
Olena Boyko, Regional Development Directorate
Council of Donors Meeting, 21.06.2019, Kyiv
МІНІСТЕРСТВО РЕГІОНАЛЬНОГО РОЗВИТКУ,
БУДІВНИЦТВА ТА ЖИТЛОВО-КОМУНАЛЬНОГО
ГОСПОДАРСТВА УКРАЇНИMinistry of Regional Development , Construction, Housing and Communal Services of Ukraine

2. On the changes to the Law of Ukraine “On fundamentals of the state regional policy”
On the changes to the Budget Code of Ukraine (Article 24-1)
On the changes to the Tax Code (on stimulating of investments within the problem
territories)
01
02
03
On the stimulating of regions development (new version)
Development, follow-up, communication of legislation changes
RENEWAL OF THE REGIONAL POLICY LEGISLATION:

3. Improvement of supervision system, focus
on policy’ results evaluation
Strengthening of Minregion coordination roleComplexity of the strategic planning :
- Strategic planning is an “essence” of regional
development management at all levels;
- Smart structure and priorities of the action plan on
strategies’ implementation, RD-programs, only
confirmed, predictable and estimated assets and
their sources
- compliance between strategic and budgetary
planning: financing RD-programs based on
principle “first planned - than financed”, but not
“as bottom line”
- Possibility to develop the territory under its –geo,
economic, demographic, environmental and other
peculiarities.
Draft law “On the fundamentals of the state regional policy ”:
State regional policy - is the policy of “synergy”
Creating conditions for development of RD
Agencies

4. 2/3 of the State
Found on RD
For supporting projects and
programs implementation,
which are based on the
Outcomes of Regional
Strategies
1/3 of the State
Found on RD
For supporting projects and
programs implementation,
which are based on the
Outcomes of the State
Strategy on Regional
Development
Increasing resources of State Found on RD:
Changes to the Article 24-1 of the Budgetary Code of Ukraine:
Connectivity between the State Found on RD and strategic planning
Additionally, the State Found on RD will
accumulate the financial resources of the
State Budget, received from the programs of
the EU, other countries, donor organizations
for the purposes of regional development
by 1,5%
of the resources from
the previous year budget

5. The State:
The Cabinet of Ministers will
decide to provide the legal
status of the problem territory
Preparing and implementation:
- Agreements on regional development
- State program on problem territories development
The Region:
Oblast Council will decide to provide
regional legal status of the problem
territory
Preparing and implementation:
- Development of infrastructure projects in accordance with the regional strategy
- remuneration of the credit percentage for SME
- Development of business-infrastructure
- Development of labor resources
State support to SME, remuneration of credit percentage, development of business-
infrastructure
Re-training and professional development programs for labor resources, promotion
of labor migration ; education and culture development
Special tax conditions for newly created entities and investments to the priority
sectors, state risk insurance
Support of agriculture divergence
Implementation of infrastructure projects within the State Found of RD and in
accordance with the regional strategies
Draft Law “On the stimulation of the regions development”:
Consistent support of the problem territories
Changes to the
Tax Code

6. STRATEGY-2027 PREPARATION STAGES:
1 2 3 4 5 6
Preliminary Stage
Preparation
of the
components
Inter-ministerial
approval
Meetings
and discussions
Public
discussion
Public announcement
through the Media on
the start of draft
Strategy-2027
preparation
1 February
Proposals to the
Strategy-2027
submission by the
stakeholders
1 April
WG on the preparation of
the Strategy-2027 is
composed
13 May
All-Ukrainian Meeting
on actual issues of
the development and
implementation of
state regional policy
16-17 May
Round-table discussion
«Strategy-2027:
Consistency in
Development!»
20 червня
Analytical part is
prepared, the objective
and strategic outcomes
are formulated
July-August
Public discussion on
the Strategy-2027
held, CEO is provided
September-October
Follow-up revision, inter-
ministerial approval,
Presentation for Inter-
Ministerial Coordination
Commission (MCC)
November
Submission
to the
Government
for approval
December
OUR PARTNERS:
 Program “U-LEAD”;
 UNDP Program;
 Project «Partnership for cities development “PROMIS”
 Project «Enhancing Competitiveness of Ukrainian Regions
and Development o Polish-Ukrainian Economic
Cooperation»

7. Creation of Working Groups (WG)
current situation
Чернівецька – 85
Черкаська – 194
Херсонська – 123
Львівська – 208
Transparency
Equality
Gender
balance
Broad
scope
The Principles
of WG creation
WG are created
Oblast State
Administrations
– 35%
Science
– 3%
Business
– 9%
Civic society
representatives
– 53 % Chernivtsi region – 85%
Cherkasy region – 194%
Kherson region – 123%
Lviv region – 208%

8. 1 2 3 5
Preliminary stage:
Notification through the Media
and www
Creation of the WG
Meeting of the steering committee
Strategic analysis
Development of other
components of the strategy,
detailed description
Follow-up revision
after review all
proposals from
the stakeholders
4
Public
discussion
Strategic
environmental
evaluation
6
1 December
Submission
to the
Oblast
Councils
REGIONAL STRATEGIES PREPERATION STAGES :

9. Methodological and informational support of the preparing Strategies process
(with regard to the SMART-APPROACH)
Smart-approach – is an approach, which envisages argumentation of the objectives and outcomes, developed within the framework of the
Regional Strategies. Those objectives and outcomes should focus on economic activities, which have innovation capacity and define competitive
advantages of each region. Strategic objectives should promote transformation of regional economic sectors into the most efficient.
 February-March – trainings on smart-approach for
representatives of Oblast State Administrations and
regional departments of the State Statistics Service
 May – All-Ukrainian Meeting on the actual issues of the
state regional policy (Odessa)
 June – participation in the WG activities on development
of the regional development strategies
 July – workshop on the methodology of identifying of
economic and innovation potential of regions using the
European Commission approach
Other tasks:
 Training of professionals for Oblast State Administrations on the identification of the smart-approach of the region;
 Creation of the Coordination Center under the Cabinet of Ministers of Ukraine on functioning of smart-approach;
 Assist Oblast State Administrations on the involvement of stakeholders for identification of smart-approach of the
region
Our partners:
 Ministry of economic development and trade of Ukraine and
Directorate General on research and innovations (DG JRC);
 Program “U-LEAD”;
 Project «Enhancing Competitiveness of Ukrainian Regions and
Development o Polish-Ukrainian Economic Cooperation»

10. Cross-Border Cooperation Key aspects
Danube transnational program
5 mln. € for Ukraine
Novation in legislative and financial support of cross-border
cooperation (CBC)
 State support for CBC-projects – FIRST TIME 10 mln. UAH of subvention from the state
budget on implementation of the CBC-projects
 Establishing conditions for creation Euroregional Co-operation Groupings (development
of templates for agreement and statute)

11. Development and
approval of the
templates for
agreement and statute
for euro-regional
cooperation grouping
Implementation of
changes to the Law of
Ukraine “On cross-
border cooperation”
Coordination system of Ukraine’
participation in the EU Strategy
for the Danube Region
Creation of the national system
of control and audit, National
contact unit for implementation
of the Danube TP
Coordination Financing
Elaborating of the new State
program on the cross-border
cooperation development for
2021-2027
DEVELOPMENT OF
THE STRATEGIC
POLICY PAPERS
Approving of the new Order
of state financial support to
the projects (programs) of
cross-border cooperation
Subvention for cross-border
cooperation projects
(10 mln. UAH)
CROSS-BORDER COOPERATION – KEY FEATURES