INNOVATIVE ENTREPRENEURSHIP AS A DRIVER OF ECONOMIC GROWTH IN UKRAINE

Abstract

In the context of global economic transformation, innovative entrepreneurship has become a crucial factor in ensuring sustainable development and enhancing national competitiveness. For Ukraine, which is currently undergoing profound structural changes due to the consequences of war and at the same time deepening its integration into the European Union, innovative entrepreneurship serves as a strategic driver of economic growth. It not only facilitates the creation of high-value products and services but also attracts investment, stimulates human capital development, and strengthens the country’s international image. This paper highlights the essence of innovative entrepreneurship and distinguishes it from traditional forms of business activity that are primarily resource-oriented. The analysis reveals the main areas where innovative entrepreneurship contributes to the national economy: boosting productivity, diversifying GDP structure, promoting high-tech sectors such as information technology, biotechnology, renewable energy, financial technologies, and agricultural innovations. Considerable attention is devoted to the key factors shaping Ukraine’s innovation ecosystem, including state policies that support start-ups and technology parks, access to international funding programs such as Horizon Europe, increasing activity of venture capital funds, and a strong pool of skilled human resources. At the same time, the research outlines the main challenges impeding the development of innovative entrepreneurship in Ukraine: limited financial resources for small businesses, high investment risks in wartime conditions, uneven development of innovation infrastructure across regions, and the outflow of qualified specialists abroad. Nevertheless, integration into the European innovation area, stronger public-private partnerships, digitalization of the economy, and a more favorable regulatory framework are identified as potential accelerators of positive change. The findings demonstrate that innovative entrepreneurship is not only a factor of Ukraine’s competitiveness but also a key instrument for post-war economic recovery and sustainable integration into global markets. Its further development will enhance the country’s economic resilience, strengthen security, and provide long-term growth prospects.