The information session for municipalities in Luhansk Oblast, dedicated to the development of rural areas and opportunities for internally displaced persons, highlighted how to balance the interests of relocated and host municipalities and find financial support to start a business. The event was organised by the Regional Office of U-LEAD with Europe in Luhansk Oblast and Mercy Corps, an international humanitarian organisation.
“Relocated municipalities strive to provide housing and work for their people, while preserving their identity. Host municipalities have other challenges, such as the temporary loss of the working-age population due to military service or migration. Still, they own resources: land and housing. Our task is to help both municipalities and people understand where to seek funding to start a business and provide them with the tools to do so,” explained Ihor Ahibalov, the Head of the Regional Office of U-LEAD with Europe in Luhansk Oblast.
In search of funding, municipalities are assisted by international partners. For instance, one of the biggest international humanitarian organisations working in Ukraine right now, Mercy Corps. In addition to humanitarian assistance, the organisation actively supports the agricultural sector. With the assistance of Howard G. Buffett Foundation, Mercy Corps launched the Ukraine Agriculture Support Programme (UASP). It seeks to restore the functioning of agribusinesses and farmers who depend on agriculture for their income.
“By farmers, we not only mean officially registered entrepreneurs, but also ordinary villagers who support their families through farming. For many, this is their only source of income and survival. This is especially true for IDPs who have lost everything and are now trying to integrate into new municipalities,” said Ruslan Markov, the Lead Agriculture Manager of the Mercy Corps project.
Participants learned about different ways Mercy Corps can help:
- Households and small farmers (plots up to 10 hectares) can receive grants of an average of $3,000;
- Small agribusinesses (up to 500 hectares, ready to invest their own funds) will be able to attract about $75,000;
- Medium-sized agribusiness (from 500 to 3,000 hectares, critical for the municipality’s economy) can receive support of up to $150,000;
- Agricultural institutions, such as labs, research centres, advisory services, educational institutions, can also apply for funding of up to $150,000 in the form of already purchased equipment.
In addition to financial support, the programme provides consultations on legal and financial issues, from land taxes and lending obligations to government benefits for farmers affected by the war.
Through these initiatives, municipalities in Luhansk Oblast are gaining tangible tools for economic recovery. Supporting farmers helps generate new jobs, ensure food security and strengthen the resilience of municipalities that continue to develop even amidst the challenging conditions of the war.
