INVESTMENT AND INNOVATION ACTIVITIES OF ENTERPRISES UNDER MARTIAL LAW: ECONOMIC AND LEGAL MECHANISMS FOR ENSURING RESILIENCE AND DE-RISKING

Abstract

The article examines the investment and innovation activities of enterprises under martial law as a key factor in ensuring their economic resilience and adaptability to crisis challenges. The relationship between innovation activity and the ability of enterprises to withstand external destabilization is revealed, and the strategic role of investments in production modernization, the development of high-technology solutions, and diversification is defined. Emphasis is placed on the need for the state to create favorable economic and legal conditions for innovation-driven development, particularly through improving the legislative framework, introducing special incentive regimes, mechanisms of public–private partnership, and instruments for insuring war-political risks. The article analyzes de-risking models for investment projects, such as MIG-ECA and DFC, highlighting their opportunities and limitations in the Ukrainian context. The rationale for establishing a National War-Risk Insurance Fund as a systemic instrument for supporting investment activity is substantiated, along with the need to strengthen intellectual property protection in a mobilization economy. It is identified that prioritizing short-term investment projects is one of the key characteristics of investment activity under martial law, as enterprises must adapt to high uncertainty and unpredictability. During wartime, the economic environment may change extremely rapidly; therefore, businesses prefer projects that ensure quick returns and fast recovery of invested capital, helping to reduce risks and maintain financial stability in crisis conditions. A comprehensive set of economic and legal mechanisms is proposed to stimulate innovation activity, support the restoration of production potential, and enhance the competitiveness of the national economy during the wartime and post-war periods.