Ukrainian Diaspora Investment Assessment Study

The study aimed to identify the size and composition of the Ukrainian diaspora, their current engagement in Ukraine, and their potential and willingness to participate in investment activities, particularly in diaspora investment fund instruments. The study found that the Ukrainian diaspora in the United States and Canada is a highly organized, multi-generational, and proud diaspora with significant human, financial, and social capital. Recent events in Ukraine have strengthened Ukrainian diaspora identificational ties with their country of origin/heritage. However, there is a social divide between recent immigrants and the descendants of immigrants from earlier waves of emigration. Diasporans currently engage with Ukraine primarily through travel, volunteerism, charity, and sending remittances. Few are engaged in business investment, primarily due to experience with corruption and previous diaspora failure. Investment interest is mainly driven by institutional change and emotional return expectations, with ICT, agriculture, and education being the most attractive industries for investment. The study also found that overall diaspora interest in three prototype diaspora investment fund concepts (for-profit, social-impact, and charity) was positive but moderate. Investment interest was particularly strong for the for-profit model, especially once trial and repeat investment estimates are taken into account. Recommendations are provided in the report about how to best position this potential fund in the market, targeting both high-potential investors and the diaspora mass market, along with associated pricing, promotion, and placement strategies. The assessment team was spearheaded by Dr. Liesl Riddle, and diaspora community outreach for the project was led by Ms. Laryssa Romanenko. The study's findings have significant implications for diaspora investment and the potential for diaspora investment funds to play a role in Ukraine's business and investment environment. The Ukrainian diaspora's organizational and demographic size and composition, extent and nature of current engagement in Ukraine, and potential and willingness to participate in investment activities in Ukraine were examined through a combination of research methods, including a diaspora organization database, interviews, focus groups, and surveys. The study's findings highlight the importance of understanding the Ukrainian diaspora's needs, interests, and motivations in order to effectively engage them in investment activities and promote economic growth in Ukraine. The study's recommendations for positioning the potential diaspora investment fund in the market, targeting high-potential investors and the diaspora mass market, and associated pricing, promotion, and placement strategies are based on the study's findings and are intended to support the development of a diaspora investment fund that meets the needs and interests of the Ukrainian diaspora.