How social entrepreneurship may play a role in strengthening Ukraine’s rural regions?
Rural communities in Ukraine have long faced socio-economic challenges, such as population decline, high unemployment, and limited access to services. About 30% of Ukraine’s population, including internally displaced persons, live in rural areas, but this figure is steadily decreasing due to migration to larger cities or abroad. At the same time, the unemployment rate in rural areas exceeds 10%, significantly higher than in urban areas.
The full-scale invasion has greatly exacerbated these issues, impacting economic stability and migration processes. According to the Center for Economic Strategy, the number of Ukrainian refugees abroad has reached 4.9 million. Many Ukrainians who remain in the country are also relocating from areas of active hostilities to safer regions, including rural communities.
This demographic shift creates a need for new approaches to local community development, where social entrepreneurship can play a crucial role. Internal migration presents opportunities for community recovery and development but also brings new challenges. Rural regions need new jobs, improved access to social services, and infrastructure to support IDPs and the local population. In this context, social entrepreneurship becomes a reliable tool for communities due to its ability to combine economic profitability with addressing social issues. Beyond creating new jobs, social enterprises contribute to the development of inclusive and self-sufficient communities. This approach not only increases employment for community members but also fosters sustainable development.
One successful example of social entrepreneurship in rural areas is the creation of cooperatives engaged in organic farming. Such models are popular in European countries, and their implementation in Ukraine could help create jobs for IDPs while supporting local community development through ecological approaches. Rural residents would benefit from a sustainable source of income and contribute to environmental sustainability, while IDPs could actively participate in community growth. In Ukraine, common formats for social enterprises include small organic farms and initiatives where consumers invest in local farms, stimulating the local economy.
Social entrepreneurship in rural regions of Ukraine can bridge economic growth and increased social benefits for communities. Unlike traditional businesses, social enterprises focus not only on profit but also on maximizing social impact. Thus, in rural areas, they can address issues such as environmental sustainability, access to healthcare and education, and resource utilization adapted to community needs.
Despite the ongoing war, developing rural communities through social enterprises is becoming an essential element of recovery. The Platform for Social Change supports these initiatives by creating an ecosystem that helps rural communities adapt to new realities, improving access to jobs and services, and strengthening social cohesion.
Strengthening rural regions through the integration of social enterprises is not only an economic strategy but also a means to create resilient communities capable of thriving during and after the conflict.
