In a bid to enable businesses in both Ukraine and the UK to benefit from the quicker and cheaper trade of digital goods, the new UK-Ukraine Digital Trade Agreement (DTA) has come into force today.

The Digital Trade Agreement, which is a part of a series of initiatives by the UK government to support Ukraine’s digital economy, has been cited as the first of its kind.

Making digital trade easier and cheaper, it’s also been built to help support the Ukrainian tech sector and ensure its resilience so that it can contribute effectively to the country’s economic recovery, whilst also strengthening the UK’s tech industry collaborations.

Ukraine is one of the largest exporters of information technology services globally, with areas such as cybersecurity, artificial intelligence (AI), mobile applications, and outsourcing in rapid development before the war.

Tech partnerships have also been said to be a key area of the digital trade agreement, supporting collaboration between the UK and Ukraine on areas like cybersecurity.

“The support of Ukraine from the United Kingdom is unprecedented,” said Yuliia Svyrydenko, who’s the first deputy prime minister and minister of economy of Ukraine.

“We have felt it from the very first days of the full-scale war. The digital trade agreement between our countries is another manifestation of solidarity and support.

“Implementing this agreement will deepen Ukraine’s participation in global supply chains, foster the development of small and medium-sized businesses, maintain free access for Ukrainian IT companies to the UK digital markets, and provide crucial support to our economy during the war and in the post-war reconstruction period.”

Meanwhile, Jonathan Reynolds, the UK government‘s business and trade secretary, commented: “We’re modernising our trade relationship with Ukraine with one of the world’s first digital only trade agreements.

“Greater digitalisation of the economy is an important step in supporting Ukraine’s economy and their fight for independence. This government will continue to lead the way in our unwavering support for Ukraine and its people.”

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The DTA coming into force today is the latest technology-centred collaboration between the UK and Ukraine in the last few years.

For instance, earlier this year, it was announced that the UK would contribute more than 10,000 drones to Ukraine’s war efforts.

Further, the UK said that it would invest £16 million for innovations aiming to rebuild Ukraine’s energy system, displace fossil fuels, and support post-war recovery.

Around a year ago, in 2023, the UK government announced its expansion of the Ukraine Cyber Programme (UCP) with a financial boost of up to £25 million.