On 7 April 2026, the Ministry for Development of Communities and Territories of Ukraine published for public discussion a draft Cabinet of Ministers resolution intended to implement article 27 of the Law of Ukraine “On Seaports of Ukraine”. If adopted, the resolution would establish the procedure and conditions for agreements under which private investment in state-owned strategic port infrastructure may be compensated by the Ukrainian Sea Ports Authority. The Ministry’s publication is available here.

What the draft would do

The proposed framework is designed to allow investors to finance the construction, modernisation or current repair of strategic port infrastructure assets that remain in state ownership, with compensation to be paid by the Ukrainian Sea Ports Authority under a dedicated contractual mechanism. The draft does not apply to concessions, lease arrangements, joint activity agreements or other investment models governed by special statutory procedures.

Why this matters

This is a notable development for Ukraine’s port sector because article 27 has long referred to a Cabinet-approved mechanism, but such mechanism has not been operational in practice. The explanatory note also makes clear that the initiative is driven by the sector’s funding constraints and the need to attract private capital into strategically important infrastructure. 

Key takeaway for investors

The draft creates a legal route for compensation, but it does not create a classic investment-return model. Compensation would generally be limited to the investor’s actual documented costs. In addition, where the relevant asset generates revenue, compensation may be limited to the direct and related income generated by that asset. As currently drafted, the framework does not provide a clear built-in return, indexation mechanism or express protection against inflation risk.

What this means in practice

The proposed mechanism may be more attractive to strategic port users, such as terminal operators, cargo interests and logistics groups, than to purely financial investors. For such market participants, the commercial value may lie less in the compensation itself and more in securing access to infrastructure that is critical to their underlying business. That said, the current draft still leaves open important issues around payment timing, economic protection and allocation of risk.

Next steps

The draft is currently open for public discussion. Market participants with exposure to Ukrainian port infrastructure should consider whether to submit comments, particularly on investor protections, compensation mechanics and the treatment of time-value and inflation-related risks.