Ukraine to invest $1bn in drone manufacturing

The Ukrainian government has allocated UAH 40 billion (USD 1,08 billion) for investment in Ukrainian drone manufacturers this year, prime minister Denys Shmyhal said on Wednesday.

Speaking at an event marking the year of the Army of Drones project, Mr Shmyhal said more than 40 companies have contracts with the Ukrainian government, and the production of UAVs has increased tenfold.

Last year, as part of the United24 initiative, the Ukrainian government invested UAH 4 billion (USD 110 million) in drone manufacturers, with fewer than ten companies producing UAVs at the time.

Mr Shmyhal recalled that the Ukrainian government has removed customs barriers to the import of spare parts and kits, raised the share of profits for UAV manufacturers to 25 percent, and facilitated the mass production of ammunition for drones.

“The video of Ukrainian drones destroying Russian equipment is the best result and evidence of our joint actions with Ukrainian manufacturers,” the Ukrainian PM said.

The Ukrainian defence ministry earlier said it had used 28 models of Ukrainian-made drones.