Director of the Department of Institutional Development of capital markets and corporate management of the State Agency of Ukraine for Investments and Innovations (hereafter – the Agency) Rostyslav Lukach participated in the II annual forum of private investors, which was held on May 21, 2008 in Kiev.

Rostyslav Lukach in his report “Public policy for investment stimulation in Ukraine: towards European standards” mentioned that venture investing was one of the most lucrative businesses in the world. Well-known companies such as Apple, Microsoft, HP, Yahoo, and Google came up to the level of world leaders through venture investment. In consequence of the effective development of business based on intellectual property the venture capital investors receive excess profits, as well as acquire practical experience in strategic management and access to players of global market. The speaker also noted that the GDP of the state of California (USA), the population of which was the same as in Ukraine exceeded $1.3 trillion by virtue of venture investment.

In our country the operation of venture funds provided by the Law of Ukraine “On collective investment institutions (mutual funds and corporate investment)” dated March 15, 2001. But, although at the beginning of 2008 there were 650 venture capital funds, the development of innovative sphere was not a priority goal of their activities.

Rostyslav Lukach also added that another important factor in improving the investment climate in Ukraine should be intensified activity at the regional level. For example, the Agency is developing a pilot model of economic and social development of areas and regions with the aim of ensuring their self-sufficiency according to the Plan of implementation the innovations.

Participants also discussed issues concerning the development prospects of investment processes in Ukraine and Europe, practices and mechanisms for financing venture capital projects, ways of financing and capitalization of successful Start-up projects.

Within the framework of the Forum it was held a presentation of the Catalogue of investment projects of Ukraine-2008 and innovative technologies.

The forum brought together private and corporate investors, representatives of venture funds, financial institutions, government bodies and professional associations, and other innovative enterprises.

Event was organized by the Association “Private investors of Ukraine” (member of European Business Angel Network), with the assistance of “Evrokonsalting” and the Agency of competitive development.