REMARKET - Recovery and Empowerment through Market Access and Resilient Economic Transformation in Ukraine


After having supported Caritas with humanitarian emergency response programmes providing multi-sectorial cash assistance (MPCA) to vulnerable Internally displaced persons (IDPs) and conflict-affected population, Switzerland wishes to support its transition toward longer-term income generation, economic development, and social resilience. This second phase aims to strengthen Ukrainian communities and businesses by enhancing market access and fostering economic empowerment for IDPs, returnees, and host communities. It seeks to address immediate needs of vulnerable groups while fostering sustainable economic inclusion.

Country/region Topic Period Budget
Ukraine
Conflict & fragility
nothemedefined
Conflict prevention
01.08.2024 - 31.07.2027
CHF  2’757’000
Background The war has caused significant disruptions to Ukraine's economy, labour market, and livelihoods. Key industries like agriculture, manufacturing, and services have been severely impacted. The destruction of infrastructure and the displacement of workers have led to reduced production and loss of jobs. Since the beginning of the fullscale invasion, the State Statistics Service has not published unemployment data. According to research agencies estimations (official data not available), in July 2024 the unemployment rate in Ukraine was 18.1%, more than double the unemployment rate prior to the full-scale invasion (9.8% in 2021). This high rate of unemployment and the record shrinking of the labour force reflects the severe impact of the conflict on the Ukrainian labour market. This is especially true in areas like farming and manufacturing, where there's a lot of potential for updating technologies, market growth, and international trade.
Caritas Switzerland's 2023 Labour Market Assessment also found major shifts in labour demand from the country's east to west due to business relocations, alterations due to rising mortality and migration, and fluctuations in regional unemployment rates and gender disparities, particularly affecting sectors such as processing, trade, construction, and education.
Objectives To develop and strengthen Ukrainian communities and businesses through targeted initiatives that enhance market access and foster economic empowerment, leading to more stable and sustainable income generation, economic stability, and social cohesion for IDPs, returnees, and host community members.
In particular, by 2027 the project wishes to enhance the business operations, resilience, and income generation opportunities of 250 MSMEs owned by IDPs, returnees, and host community members and improve incomes for 1,300 IDPs, returnees, and host community members through sustainable business and employment.
Target groups IDPs, Returnees, and Host Community Members in eight oblasts: Zhytomyrska, Lvivska, Ivano-Frankivska, Khmelnytski, Vinnytska, Odeska, Mykolaivska, and Dnipropetrovska.
Medium-term outcomes
  1. IDPs, returnees, and host community members who formerly or currently own MSMEs successfully resume economic activity and/or scale up their businesses through targeted financial and business development support.
  2. IDPs, returnees, and host community members improve their employability through increased job market access and relevant skill upgrades.
  3. Established basis for a partner-led MSD programme.
Results

Expected results:  

1.1 Business grants and business development services delivered to MSMEs for start-up or scaling-up

1.2 Pilot conducted with financial institution(s) to improve MSME financing by introducing tailored MSME loan products for IDPs, returnees, and host community members

2.1 Cash-for-job delivered to IDPs, returnees, and host community members

2.2 Tailored vocational trainings in line with labour market needs delivered to IDPs, returnees, and host community members

3.1 Local MSD capacity and awareness strengthened

3.2 Sector strategies adopted by implementing partners


Results from previous phases:  

ELIS pilot project (not SDC-funded)

  • Business grants: The provision of business grants and training to 142 micro businesses has promoted selfemployment and entrepreneurship activities, with supported businesses showing strong potential for growth and job creation.
  • Cash for job (CfJ): The CfJ component enabled 390 project participants to meet their basic needs, gain work experience, and integrate into host communities.
  • Social cohesion: By providing a combination of immediate financial assistance, employment opportunities, and business support, the project met the urgent socio-economic needs of vulnerable groups, particularly IDPs, women, and the economically active population.

C4U2 Project (SDC funded):

  • Protection Case Management: Based on lessons learned during the C4U2 project implementation, a key lesson was that frontline workers needed more technical support at local level.
  • Disability inclusion: Caritas Ukraine and Caritas Spess have had previous projects targeting persons with disabilities (PWDs) and ethnic minorities but they have been separated from other projects. The lesson learned was that there could be traditionally stigmatised groups who were not accessing services and their views were not well reflected in accessing services.


Directorate/federal office responsible SDC
Project partners Contract partner
Swiss Non-profit Organisation
  • Caritas Switzerland


Coordination with other projects and actors

Caritas Switzerland and its implementing partners are members of several UN clusters, including the Food Security and Livelihood (FSL), and inter-cluster coordination groups in targeted oblasts. Caritas Switzerland participates in the Ukrainian Aid Leadership Group, which agrees on terms of cooperation between international and local NGOs.

The project will collaborate with the SDC funded Ukraine Economic Resilience Program (ERP), led by Mercy Corps and supported by consortium members such as Helvetas and Welthungerhilfe. Contacts are already ongoing and lessons learnt mutually shared.

Budget Current phase Swiss budget CHF    2’757’000 Swiss disbursement to date CHF    1’000’000 Total project since first phase Swiss budget CHF   5’961’649 Budget inclusive project partner CHF   8’718’650
Project phases Phase 2 01.08.2024 - 31.07.2027   (Current phase) Phase 1 17.04.2022 - 30.06.2024   (Active)