Features of Venture Financing of the Prydniprovsky Economic Region under Creating of an Ecosystem for Innovative Investment
Institute of Industrial Economics of the NAS of Ukraine, Kyiv
Lyakh I.I. Features of Venture Financing of the Prydniprovsky Economic Region under Creating of an Ecosystem for Innovative Investment. Management of Economy: Theory and Practice. Chumachenko’s Annals: collection of scientific papers / Institute of Industrial Economics of the NAS of Ukraine. Kyiv, 2020. P. 184-203. DOI: https://doi.org/10.37405/2221-1187.2020.184-203
The paper is devoted to the assessment of the condition of regional venture funds in the Prydniprovsky Economic Region. As they are the main investors of innovative enterprises, it is needed to be develop such institutions not only in the Central Polissya economic region with the capital of Ukraine, but also in the Prydniprovsky economic region as well in other economic regions.
It is proved that Ukraine is more active in producing innovative products compared to the level of investing in innovation. In current conditions, this fact indicates the necessity of promoting the development of venture investment institutions to ensure the proper functioning of an ecosystem for innovative investing on the regional level.
Ensuring the innovative development in the regions cannot be limited by investments in innovation or by procurements of the modern equipment and technologies, but a set of conditions must be created for an effective innovation policy of economic entities located in the region. The analysis showed that foreign venturers usually invest in economic activities in the Prydniprovsky economic district only for the first three to five years at the beginning of new company incipience. This requires balanced changes in in such policies as for science and technology, innovation and investment, which are necessary to intensify the innovative activities of business entities, attracting investment in all sectors of the regional economy.
Despite significant changes in legislation towards European practice, there is still a long and difficult way to go before the investment climate in Ukraine warms up. The long-term efforts required by innovation activating necessarily involve a favourable environment at both the national and regional levels.
The priority and effective direction of investment policy improvement is the gradual successful implementation of large-scale investment projects. Attracting influential foreign investors to the Ukrainian market and effectively supporting such projects will help improve Ukraine’s image in the global capital market and attract long-term investments.
venture financing, economic region, joint investment institutions, ecosystem, innovative investing.
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