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Science City: New Opportunities for Business, Science, and Innovation

Published 20 May 2025 year at 11:30
Science City: New Opportunities for Business, Science, and Innovation
Photo by the – пресслужба Міністерства освіти і науки України

The Ministry of Education and Science of Ukraine, in partnership with the Ministry of Digital Transformation of Ukraine, is developing a new legal framework — Science City — designed to transform science parks into modern innovation hubs. This initiative is part of the WINWIN 2030 Strategy for Digital Innovation Development, which aims to unite science, education, and business.

Although the draft law is still under review, active cooperation with the scientific and business communities is underway. A training program for science park managers is currently being actively developed to accelerate the growth of pilot projects within the framework of the upcoming regime.

What does the Science City framework offer?

Science City represents a comprehensive reform of the science park system in Ukraine. It aims to create convenient and mutually beneficial conditions for collaboration between research institutions, universities, businesses, and the state. The initiative addresses barriers that currently hinder innovation — such as high tax burdens, complex procurement procedures, and excessive bureaucracy.

Key provisions include:

  • Tax incentives
  • Customs benefits for importing industrial and research equipment
  • Preferential access to state and municipal property for rent
  • Integration into the Diia.City legal regime on flexible terms
  • Exemption from public procurement auctions
  • Full digitalization of all interactions with the Ministry of Education and Science

These measures are intended to accelerate the growth of technology transfer in Ukraine.

How does it work?

  1. Find a university or research institution with shared goals and a willingness to collaborate
  2. Establish a science park or partner with an existing one
  3. Apply to the Ministry of Education and Science to be included in the official Science City register
  4. After approval — operate under simplified rules with access to benefits and infrastructure
  5. Launch a project that addresses national development priorities
  6. Submit a support request (e.g. tax or customs exemptions, rental benefits, etc.)
  7. Submit a brief annual activity report electronically

Note: Science park can become the Diia.City residence with benefit qualification requirements — at least 9 employees or gig-specialists, a minimum salary of €600, with no restriction on state ownership in the charter capital.

What benefits does a business receive?

  • 0% VAT on eligible activities*
    *applicable to projects granted state support status
  • 0 UAH customs duty for research and production equipment
  • Preferential Diia.City conditions: 5% personal income tax, 5% military levy, minimum-base social tax, average salary of €600–800 during the first 5 years, and no limits on public ownership
  • Access to university infrastructure: labs, research equipment, core facilities, campuses, premises for rent
  • Collaboration without tenders or excessive paperwork
  • Simplified administration: all interactions through an online dashboard, one electronic report per year
  • Access to young talent: students, interns, early-career researchers

Who can become a Science City resident?

Any legal or natural person — resident or non-resident — wants to partner with a university or research institution to develop knowledge-intensive projects.

It’s already working: pilot examples

  • Zhytomyr Polytechnic Science Park — testing energy solutions, launching joint projects with the university, access to labs, and student teams
  • Kyiv Aviation Institute (KAI) Science Park — a new center for deep tech, AI, cybersecurity, machine learning, materials science, and engineering
  • SID City (Lviv Polytechnic) — Ukraine’s largest science park: Tech StartUp School, R&D labs, partnerships with companies like SoftServe, and projects such as EIT Food, INPACE, and H2HEAT

How to get involved?

Preparations for the Science City launch are already underway. If your business is interested in working with universities:

  • Contact the Ministry of Education and Science of Ukraine for a consultation: [email protected] 
  • Share information about your activities and collaboration interests
  • Learn about open opportunities and receive tailored support
  • Find a university or research institution aligned with your goals, and either establish a new science park or join an existing one
  • Submit an online application for residency once the law is adopted

Be among the first to benefit from the new framework. Drive innovation — with Science City.

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