The Impact of Military Hostilities on the Development of Entrepreneurship in the Regions of Ukraine

Abstract

The relevance of the study is due to the profound transformations of the Ukrainian economy as a result of the full-scale war, which caused the destruction of infrastructure, loss of production capacity and a decrease in business activity in the regions. Purpose. Determining the impact of military actions on the development of entrepreneurship in the regions of Ukraine and substantiating the directions of effective regional business support policy in the conditions of war and post-war recovery. Methods. The study used statistical, comparative and integrated analysis, spatial and economic modeling to assess the state of the business environment and the level of economic security of the regions. The information basis was official data from the State Statistics Committee, the Ministry of Finance of Ukraine and scientific publications. Results. The uneven impact of the war on regional business ecosystems was established: the eastern and southern regions suffered the greatest losses, while the western and central regions became centers of business relocation. A gradual stabilization of GDP and financial indicators of enterprises is observed in 2023–2024. A significant territorial asymmetry of economic security has been identified, which requires regionally oriented state support mechanisms. Entrepreneurship, especially small and medium-sized businesses, faced serious challenges, but demonstrated a high ability to adapt, digitalize and cooperate. Conclusions. The formation of an effective regional policy to support entrepreneurship should be based on the restoration of infrastructure and energy stability, the development of investments in sustainable technologies, support for the relocation of enterprises and the expansion of financial and digital instruments for the development of small and medium-sized businesses. The results obtained have practical significance for the development of strategies for the post-war economic recovery of Ukraine. The results obtained can be used to develop regional policies, small and medium-sized business support programs, and post-war recovery strategies in Ukraine.