Capital investment in Ukraine`s agriculture in 2016 was estimated at UAH 44 billion, or about US$1.62 billion, which was a record high level over Ukraine`s independence, and 1.5 times up on the 2015 figure, according to the press service of the National Scientific Center ”Institute of Agrarian Economy.”
”Investment in agriculture in 2016 reached a record high level for the sector over Ukraine`s independence, showing its high investment attractiveness,” the press service said in a statement.
This trend is due to the fact that investors positively assess their future return on investment. Projections for the growth of Ukrainian farm produce exports have also added their momentum to investment dynamics, it said.
The main source of capital investment in 2016 were own and borrowed funds of agricultural enterprises, while foreign investors did not demonstrate any significant activity, the statement said.
Earlier, the volume of used capital investment in Ukraine was UAH 326.2 billion in 2016, which was 16.4% up against 2015 in comparable prices, according to the State Statistics Service.
Ukrainian farm produce exports grew by 4.5% in 2016 from 2015, amounting to $15.5 billion (42.5% of total exports of Ukraine). Shipments of agricultural products abroad in 2015 were estimated at $14.6 billion (38.1%), the Agrarian Policy and Food Ministry said.