What to Invest in During Wartime: Four Instruments

Land as the Base Asset

Ukraine's economy, in Katsuba's assessment, remains functional and has been growing since 2022, so he regards investing as a contribution to the country's resistance and future. The first instrument named is farmland – the most valuable natural resource, one that does not lose value. Since 1 January 2024, legal entities have had access to the land market. Prices of 1,500 to 3,000 dollars per hectare remain competitive compared with EU countries; income comes from leasing and the margin on resale.

Government Bonds and Gold

The second instrument is domestic government bonds. At the end of 2023, the lowest hryvnia bond rate was 16.5%; in 2024 rates reach 16.8% per annum, and almost 20% on 2.5-year paper. Income from these bonds is tax-free, and the proceeds go to defence; foreign-currency issues protect against hryvnia devaluation. The third instrument is gold, which rose 13% in 2023 amid purchases by Russia and India and works as a hedge in times of instability.

Business Expansion

The fourth avenue is developing one's own business and partnerships. Wartime frees up market niches, allows expansion into neighbouring regions and the use of Ukrainian networks abroad. Katsuba separately highlights state defence orders, in particular the production of drones and ammunition, which combines a contribution to defence with long-term technological potential. Combining the four instruments, in his view, yields a risk-balanced portfolio.