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The Green Transition and the EU’s “Digital Decade”: How Ukrainian Businesses Can Turn Challenges into Investments

The Green Transition and the EU’s “Digital Decade”: How Ukrainian Businesses Can Turn Challenges into Investments

The expert team of the EU4Business: SMEPIS project held an online workshop for business support organizations on the topic “Digital Transformation, the Green Deal, and Access to EU Markets: An Action Plan for Ukrainian Business.” This was the sixth event in the “Doing Business in the EU: Strengthening Business Support Organizations Month” program.

The workshop focused on key areas of business adaptation to the new economy:

  • digital transformation and innovation
  • The European Green Deal and its impact on Ukrainian SMEs’
  • access to EU opportunities in the framework of green transition, digitalization, and innovation
 

The EU’s “Digital Decade” and the Digitalization of Ukrainian Business

Since 2023, the EU has been implementing its Digital Decade Policy Programme. By 2030, EU Member States aim to:

  • improve basic and advanced digital skills of citizens;
  • increase the uptake of new technologies such as AI, data, and cloud in enterprises;
  • strengthen connectivity, computing, and data infrastructure;
  • ensure public services and administration are fully available online.

A separate goal is to achieve the following levels of business digitalization in Europe by 2030:

  • 75% of EU companies are using cloud, big data, or AI
    (currently: cloud – 34%, big data – 14%, AI – 8%)
  • >90% of SMEs with at least basic digital intensity
    (currently – 55%)
  • Twice as many unicorn startups in Europe
    (currently, the EU has 117 startups valued at over $1 billion)

Ukrainian businesses are integrating into the EU faster than the accession talks are moving forward. To remain competitive and expand exports, the private sector must embrace transformation.

 

According to Anna Pobol, ICT innovation and digital policy expert, digitalization is less about technology itself and more about the ability to make data-driven decisions. For many Ukrainian business support organizations, the key challenge is the lack of integrated digital processes. Only a small share uses digital tools for performance monitoring and decision-making while in the EU, such practices are already a standard.

 

“Digital transformation is not about replacing Excel with a CRM system. It is about the institutional capacity to make better decisions based on data, client needs, and behaviors. This is a competitive advantage for every business support organization, as well as for each company or enterprise,” Pobol emphasized.

 

From AI factories and FinTech innovation to European data spaces and the digital euro — these developments are already shaping the tools, mechanisms, and rules of the game for businesses across Europe.

 

The “Green Transition” as a distinct dimension of the European economy: challenges and opportunities for Ukrainian business

The European Green Deal is another policy directly impacting EU businesses and inevitably affecting Ukrainian producers. European integration also means alignment with the legislation of the Green Deal, which is no longer only about climate but also about economics and trade policy instruments. Moreover, decarbonization of carbon-intensive sectors is among the priorities of the Ukraine Facility program. Ukrainian businesses must be ready to export, compete, and scale in line with EU green standards.

 

Konstantinos Karampourniotis, green transformation and circular economy expert, stressed that sustainability and decarbonization are already shaping new business requirements. Exports to the EU increasingly demand not only product certification but also company-level compliance with sustainability criteria. 

 

Challenges for Ukrainian SMEs include low awareness of CBAM, ESG reporting, and low-carbon supply chains, as well as the lack of institutional support. Business support organizations, according to the expert, must go beyond awareness-raising and actively help businesses adapt—through training, certification assistance, and guidance on participation in EU programs for innovation and eco-technologies.

 

“CBAM, ESG reporting and sustainable supply chain requirements are important. It is the new reality for every company that wants to export. The Green Transition is not optional—it is a mandatory business condition. The discussion should not focus on avoiding penalties, but on how businesses can lead this process and grow,” Karampourniotis underlined.

 

According to UNIDO’s Ukraine Industrial Diagnostics Survey 2023, nearly half of Ukrainian SMEs expressed interest in adopting green practices and technologies. However, only around 45% had implemented ecological business models before or in response to the war, and due to lack of state support, high costs, limited access to technologies, and shortage of skilled staff.

 

Dmytro Livch, Executive Director of EasyBusiness, stressed the importance of providing Ukrainian enterprises with access to finance, training, and advisory services to support the green transition:

“Ukrainian entrepreneurs are not rejecting the green or digital transition, they simply lack a clear action plan: where to start, how to measure impact, and how to find resources. Business support organizations and associations must co-create such roadmaps with businesses: design training programs, support grant applications, and translate complex regulations into practical steps for small enterprises.”

 

The SME Development Strategy until 2027 includes green transition as one of its key objectives, with measures such as:

  • development of an online self-assessment tool for SMEs to calculate their carbon footprint;
  • concessional lending for projects that comply with the EU Green Taxonomy, including distributed generation and low-carbon energy storage;
  • programs for professional energy audits and subsidies to improve energy efficiency for SMEs;
  • awareness-raising campaigns, seminars, and training programs via Diia.Business and others.
 

At the same time, multiple EU funding and support programs are already available for Ukrainian companies implementing green technologies, innovations, and digital solutions. According to Yurii-Volodymyr Blavt, Partner at Civitta Ukraine, digital tools cannot function in isolation. They must be integrated into institutional development strategies and linked to the ability to attract international financing.

 

“Project logic is the key to sustainable development. Without basic skills in fundraising, project management, and international consortium work, institutions cannot scale their impact. Business support organizations need to learn not only how to talk about innovation but also how to scale it with external financing, working as project offices,” Blavt noted.

 

His presentation covered the structure of project proposals, funding logic in European programs, and the various roles BSOs can play: from coordinator to communications, service provision, and monitoring partner.

Practical Recommendations for Business Support Organizations. To help SMEs access financing programs, BSOs should:

Raise awareness among SMEs about funding opportunities

  • Share regular updates on relevant programs.
  • Organize webinars, seminars, and newsletters with grant details.
  • Provide timely reminders about deadlines via email or consultations.

Facilitate partnerships and consortia

  • Host matchmaking events with potential partners.
  • Create searchable partner databases by sector and needs.
  • Advise on collaboration agreements.

Assist in application development

  • Provide consultations on proposals and business plans.
  • Help tailor projects to competition criteria.
  • Deliver pitch training for SMEs.

Connect SMEs with experts

  • Build a database of vetted consultants with grant experience.
  • Recommend experts to support proposal development and winning projects.

All workshop materials, with active links to useful resources, current support programs, and European data spaces, are available in the presentation in Ukrainian “Digitalization and Innovation in the EU Single Market and Supporting SMEs in the Green Transition.”


The “Doing Business in the EU: Strengthening Business Support Organizations Month” is part of the EU4Business: SME Policies and Institutions Support (SMEPIS) project, implemented by Ecorys in consortium with GIZ Ukraine, BRDO, and Civitta, with financial support from the European Union. Information partners include the Ukrainian Chamber of Commerce and Industry and EasyBusiness NGO.

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