Kyivstar signs MoU with Ukraine's Ministry of Economy to build sovereign AI data centre

The MoU was signed at the 2026 Ukraine Recovery Conference in Gdańsk, co-hosted by Poland and Ukraine, and positions domestic AI infrastructure as a pillar of the country’s long-term economic reconstruction. VEON is expected to support implementation through financial backing and its broader global operational expertise.

The proposed facility would keep critical data processing and storage within Ukraine’s borders, a priority for sensitive sectors including public administration, financial services, defence technology, and research and development. Kyivstar has indicated it would look to fund and phase any investment within its existing capital expenditure plans.

“Sovereign AI infrastructure keeps a country’s most important data and capabilities at home, where they create the most value for its people and its economy,” said Kaan Terzioglu, CEO of VEON Group.

Oleksandr Komarov, President of Kyivstar Group, pointed to the growing demand for localised compute as AI adoption accelerates. “This reinforces the need for countries to build local AI infrastructure to stay competitive globally,” he said.

Ukraine’s Minister of Economy, Oleksii Sobolev, framed the initiative as central to the country’s modernisation agenda, citing the potential for secure, in-country data capacity to support both public sector reform and private sector innovation.

The project remains at the exploratory stage, with terms of investment and timeline yet to be confirmed.

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