The US has provided another $40M in lending guarantees for Ukrainian businesses.

The US Development Finance Corporation (DFC) and USAID have signed an agreement with Lviv Bank to provide $40M in portfolio guarantees. The agreement enables Ukrainian entrepreneurs to receive loans on favorable terms with minimal collateral requirements.

This is the third loan guarantee agreement between the DFC and Lviv Bank. In the summer of 2022, the parties signed a guaranteed contract to cover $15M worth of business loans and another in November 2023 for $25M. Under the first program, 500 loans were issued totaling almost $19M. The DFC’s total Ukrainian loan guarantee portfolio exceeds $100M.

Also, this year Bank Lviv has attracted guarantees worth €15M from the EBRD for loans totaling €30M to small and medium-sized enterprises, including those affected by the war.

Bank Lviv’s main shareholder is the Swiss investment fund responsAbility. The bank’s shareholders also include Nefco (13.94%) and a private Icelandic investor (37%).