In recent years, Central and Eastern Europe (CEE) has enjoyed dynamic growth and has become a major destination for establishing Shared Service Centers (SSCs) or launching Business Process Outsourcing (BPO) operations.
With rising costs in Central and Eastern Europe and scarce labor, Ukraine has become the # 1 destination for investors looking for a new SSC or BPO site. There are several reasons for this.
With 42 million people, Ukraine offers one of the largest talent pools in Europe.
Ukraine has become an important transit corridor for trade and travel between Europe, Asia and the Middle East.
Labor costs in Ukraine are 3-4 times lower compared to Central and Eastern European countries.
Moreover, according to MoveHub, Ukraine is the best affordable country in Europe in terms of cost of living, and it is among the ten cheapest countries in the world, behind only Egypt and Pakistan as the most affordable countries. While Kiev, the nation's capital, is the most expensive place to live, the cost of living is still very low by international standards.
Improving the business climate
According to the World Bank, in recent years Ukraine has made more steps to improve its business climate than any other post-Soviet country.
Ukraine is already the preferred country for business services - five SSC companies, more than 100 R&D centers and a large number of BPOs are successfully operating in Ukraine, with many companies planning to enter Ukraine soon.