Economic cooperation

As NATO's core business is security and defense, its economic work focuses on specific economic aspects of security and defense in which it can be useful. In addition, the Alliance always supports cooperation between its members when it comes to economic issues that have a direct impact on security and defense. Cooperation with Partner countries and other countries with which the Alliance has established cooperation is an integral part of NATO's economic activities.

Yes, cooperation within the Euro-Atlantic Partnership Council (EAPC) is implemented through conferences, seminars and expert meetings. Collaboration schemes are being jointly developed with the help of the George Marshall Center for Security Studies and other institutions. These mechanisms give Allies the opportunity to share their experiences with partner countries in a number of areas. Recent examples of such cooperation are the economic aspects of building defense institutions, the economic and financial aspects of the fight against terrorism, new methods of managing defense resources in Allies and Partners. NATO's economic structures also monitor economic defense and security issues included in individual partnership plans.

Ukraine's cooperation with NATO in the field of economic aspects of defense and security is carried out in two areas: institutional dialogue, which focuses on economic issues of defense and security and economic aspects of restructuring the defense industry, and retraining of retired servicemen. > A particularly important area of ​​cooperation with the Alliance is assistance in addressing the negative economic and social consequences of defense reform in Ukraine.

Under an agreement with the Ukrainian National Coordination Center, which is responsible for the social adaptation of discharged servicemen, NATO has been funding foreign language and management courses in Ukraine since 1999, with nearly 100 former Ukrainian officers trained each year. Since the beginning of the Intensified Dialogue with Ukraine, NATO has doubled its resources for cooperation in this area. This program brings tangible results, helping retired servicemen to integrate into civilian life.

In April 2005, NATO member states and Ukraine agreed to increase assistance in addressing the socio-economic consequences of military reform.

In September 2005, the Alliance took the initiative to fund the NATO Trust Fund - Partnership for Peace. This project guarantees the continuation in Ukraine of the program launched by the United Kingdom in 2002 and provides an opportunity to retrain 180 servicemen annually at the Khmelnytsky Center for Retraining and Social Adaptation at Khmelnytsky National University. Retraining is carried out in 3-month courses conducted on a 500-hour program. Funding for the NATO-Ukraine Military Retraining Project was increased in 2007.

Ukraine is currently implementing the NATO-Ukraine Military Retraining Program, which includes two projects in this area: the NATO-Ukraine Security and Defense Civilian Professional Development Program and the NATO Trust Fund Project - Khmelnytsky Retraining and Social Adaptation Center servicemen (retrain.km.ua). In addition, assistance is provided in the implementation of economic courses.

NATO-Ukraine Joint Working Group on Economic Security During the meetings of the AWG on economic security, theoretical and practical issues of economic security were discussed, the concepts of ensuring this important component of the overall security of the state were considered.

Since 2007, the agenda of the AWG meetings on economic security has included issues of energy security and security of energy infrastructure. Cooperation has been established in the framework of the NATO-Ukraine AWG since 2008 in the fight against terrorist financing and the prevention of money laundering.

The Ministry of Economic Development and Trade of Ukraine together with the Mission of Ukraine to NATO and the NATO Liaison Office in Ukraine organizes meetings of the Joint Working Groups, which usually involve representatives of the Ministry of Defense of Ukraine, the Ministry of Foreign Affairs of Ukraine, the National Institute Strategic Studies, as well as the NATO International Staff and a number of non-governmental organizations.

Due to the reorganization of the structure of NATO's working bodies, the AWG's activities on economic security have been suspended.

On the Annual Seminar on the Development of Ukraine's Defense Industry with NATO Experts On 9 December 2019, Svitlana Panaiotidi, Deputy Minister for Economic Development, Trade and Agriculture of Ukraine, and Gordon Davis, NATO Assistant Secretary General for Defense Investment, chaired the annual IV Seminar on Ukraine's Defense Industry Development with the participation of NATO experts.

The event was also attended by Director General of Ukroboronprom Aivaras Abromavicius, MPs of Ukraine, experts from the NATO International Secretariat, experts from the Ministry of Economy and the Ministry of Defense of Ukraine.

During her speech, Deputy Minister Svitlana Panaiotidi noted that the seminar is a platform for the exchange of expertise and best international practices in the development of the defense industry.

"Ukraine's course to NATO is a constant and strategic goal of our country. We are interested in consistent cooperation with the North Atlantic Alliance and the implementation of the best practices of our international colleagues in the development of Ukraine's domestic defense industry," Svitlana Panaiotidi said.

The Deputy Minister also stressed that Ukraine is interested in the rapid and systematic implementation of important reforms in the defense industry and is actively moving in this direction.

"Recently, the Verkhovna Rada adopted in the first reading an important bill" On Defense Procurement ". It provides for the introduction of effective mechanisms to protect Ukrainian producers, change the Soviet planning system and aims to increase transparency and competition in defense procurement," said Svetlana Panaiotidi. 

During the seminar, participants discussed the reform of the defense procurement system, practical aspects of defense contracts, as well as promising areas of cooperation between the defense industry and NATO.

On the consideration of economic security issues in the framework of the 28th meeting of the NATO-Ukraine Joint Working Group on Defense and Technical Cooperation On 12 December 2019, Deputy Minister of Economic Development, Trade and Agriculture Svitlana Panaiotidi at NATO Headquarters took part in the 28th meeting of the NATO-Ukraine Joint Working Group on Defense and Technical Cooperation.

During her speech, Svitlana Panaiotidi introduced the Ministry as the body responsible for the formation and implementation of military-industrial policy. In this context, the state of reform of Ukraine's defense industry was discussed with NATO. In addition, during her speech, the Deputy Minister briefed the audience on the steps taken by the Ministry to ensure the preparation and review of the defense industry of Ukraine.

The meeting also discussed the following ways of cooperating with the Alliance in the context of reforming the national defense industry: advisory assistance in the review of the defense industry, participation in the working groups of the Conference of National Armaments Directors (CNAD) to implement NATO standards and use in improving the regulatory framework, involvement in the NATO Building Integrity Program.

At the end of her speech, Deputy Minister Panaiotidi SM noted that the Ministry of Economy within its competence will continue to use existing mechanisms of cooperation with NATO to implement the Euro-Atlantic course of the state enshrined in the Constitution of Ukraine.