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The EBRD’s main goal is to increase the energy system’s flexibility and restore heating where Russian strikes destroyed generating capacity, said a senior banker in the EBRD’s energy department in Ukraine, Olga Eryomina. As she noted, renewable energy sources are the main vector for the future development of the Ukrainian energy industry because nuclear energy is ineffective in the context of Ukraine’s current needs. This is because nuclear energy is not flexible and there are multiple difficulties in implementing new

Ukraine is coordinating with Development Finance Institutions (DFI) to find a way to support its private sector. A memorandum between the EBRD and DFIs on the Co-financing Platform allows long-term project financing and guarantees from DFIs together with the resources obtained through international financial organizations (IFI) to implement investment projects in Ukraine. Minister of Economy Yuliya Svyrydenko noted that Ukraine needs investment in the private sector right now, before the end of the war. Therefore, using a co-financing platform is

The European Bank for Reconstruction and Development will provide guarantees for Ukrainian ProCredit Bank sufficient to support €70M in new lending for small and medium-sized enterprises. The EBRD guarantee will cover up to 50% of ProCredit Bank’s credit risk in Ukraine for new sub-loans to private companies operating in Ukraine. The agreement will allow the bank to finance Ukrainian private companies in the critical agriculture, manufacturing, transport, and pharmaceutical sectors. This is the fourth risk-sharing agreement concluded with a Ukrainian

According to an EBRD forecast, Ukraine’s economy will grow by 3% in 2024 and by 6% in 2025. This pace is lower than the 5.3% rise in 2023 following a sharp drop in 2022 caused by the Russian invasion. The EBRD says that despite the increase in Ukraine’s GDP in 2023, helped by a record harvest, damage to the electricity infrastructure due to recent shelling is one of the factors likely to limit further growth in 2024. New challenges have

According to the Ministry of Finance data, the state’s and state-guaranteed debt as of April 1, 2024, amounts to ₴5.9T ($149B). Since 2020, this amount has increased significantly, mostly due to the full-scale war. Calculating the personal debt amount as of last year for each Ukrainian, it amounts to ₴162,300 ($4,099) per person. Currently, Ukraine’s external debt is ₴3.99T (67.43% of the total). Of this, 18.8% of the debt is to the EU, 11.6% to the IMF, 7.8% to the

The guarantee will cover 50% of OTP Leasing’s new subleasing contracts with a total value of up to €80M. Financing will be provided in two tranches of €40M each, the first of which has already been confirmed. The project is aimed at providing access to financing to Ukrainian enterprises working in primary and secondary agricultural segments, as well as in critically important industries including the food industry, retail trade, and logistics. 70% of the sub-limit will be aimed at financing

German Development Minister Svenja Schulze said that due to the Russian war of aggression, approximately 11 million Ukrainians are either at the front, displaced within the country, or have been forced to go abroad, and therefore do not take a direct part in Ukraine’s reconstruction. “Ukraine urgently needs qualified workers. Therefore, together with Ukraine, we are preparing an alliance for qualified workers, to which international partners and companies can join,” she explained. She added that about 8,000 specialists have already

The Ministry of Economy and American Western NIS Enterprise Fund (WNISEF), whose portfolio is managed by investment company Horizon Capital, have agreed on a grant program for women engaged in businesses oriented to the processing industry. The total budget is $1M, and each grant’s maximum amount is $15,000. Applications focused on business scaling will be considered first. The program provides up to 30% of funds that will be used to purchase new software or training. Also, the EBRD has announced

Over five years, Canada will provide CAD 1.6B (about $1.2B) for various lethal and non-lethal military aid packages to Ukraine, according to a project contained within the budget that has been submitted to parliament. It is noted that this multi-year promise will provide predictability to Ukraine and the Canadian defense industry. Since the start of the war, Canada has pledged over CAD 4B ($3B) in military aid to Ukraine, part of the CAD 14B (over $10.7B) in total support given

The EC has made the first €4.5B payment of transitional financing for Ukraine, and the next payment of €1.5B is planned for this month, subject to Ukraine’s compliance with all established conditions. EC Vice President Valdis Dombrovskis stated this following approval of the measure by the Council of Ministers of the EU on Economy and Finance. He noted that the EC presented the Ukrainian plan received from the country’s government for consideration by European ministers. It will become the main

The EBRD has provided Oschadbank with a limit for the portfolio mechanism for risk distribution of €50M. This will generate an additional €200M in new financing for Ukraine’s private sector. The EBRD loan will cover up to 50% of Oschadbank’s credit risk for new loans to private businesses operating in Ukraine. The EBRD guarantee will strengthen Oschadbank’s lending capacity and allow it to provide much-needed financing to Ukrainian private companies operating in the agriculture, construction, transport, and pharmaceutical industries. The

The Polish bank BGK and Ukrainian Kredobank signed an addendum to an agreement. Kredobank will receive an additional €10M in EC guarantees for lending to Ukrainian entrepreneurs. These funds will increase the bank’s ability to provide loans to companies operating in Ukraine to €20M, primarily those companies operating in territories liberated from occupation and in areas near the zone of active hostilities. BGK and Kredobank began cooperation within the framework of EU guarantees in January 2023. Through this mechanism, Kredobank

said EBRD Vice President Jürgen Rigterink. He noted that the EBRD, responding to the crisis caused by the war, is focused on five main areas of Ukrainian support, spread between the private sector and the public sector. The five areas of focus include energy security, critical infrastructure, food security, business support and trade finance. The EBRD vice president explained that through the bank’s decision to increase capital by €4B, the EBRD can leverage four to six times that amount in

Investment company Dragon Capital put into operation the first phase of the M10 Lviv Industrial Park – a class A warehouse complex with an area of 14,400 square meters. The industrial park is located in the Ryasne-2 industrial zone in Lviv, 60 km from the Krakowec border crossing with Poland. The park’s territory covers an area of 23.5 hectares and consists of six plots planned for storage and production premises, with a total area of 140,000 square meters. At the

During the Munich Security Conference, EBRD President Odile Renaud-Basso said that since the start of the war against Ukraine, the EBRD has invested €3.8B in the Ukrainian economy. In the next five years, the EBRD, in cooperation with its partners, can send another €7.5B, up to €15B. She called it “unbelievable and amazing” that in the conditions of war and economic instability, the Ukrainian economy grew by 5% by the end of 2023. The president of the EBRD also drew

The head of the EBRD, Odile Renaud-Basso, in response to criticism, called the support of Ukraine from the West “huge” in terms of the share of support from GDP, and points out that it overshadows the Marshall Plan (the US’ European reconstruction plan following the Second World War). Brussels and Washington were the largest financial donors of non-military aid to Ukraine, providing €27.5B and €22.9B, respectively, during the interim between the Russian invasion in February 2022 and the end of

In 2023, the EBRD directed a record amount of €2.1B to Ukraine, and in 2022 – €1.7B. The largest institutional investor in Ukraine, which significantly increased investment after the invasion of the Russian Federation in February 2022, ended the year exceeding its €3B target for the country for 2022-23, reaching the amount in October. It is also noted that last year, management decided to increase the bank’s capital by €4B, resulting in its capital base increasing to €34B and allowing

Ukraine needs financial and military support so that Kyiv does not return to printing money to keep its economy afloat, EBRD Chief Economist Beata Javorcik said. According to her, the economic situation in Ukraine is difficult, even though last year’s growth was slightly less than 5%. “The big risk is that if the money does not come from abroad, the situation may spiral, and the government may have to resort to money printing,” she said, emphasizing the Ukrainian government’s exemplary

The heads of the EBRD approved a resolution to increase the bank’s capital by €4B, bringing it to €34B. It is noted that the additional capital will be used to ensure stable investments in Ukraine’s real economy during the war and recovery period. It will also help support the EBRD’s priorities in all the countries where it operates. Thus, thanks to the capital increase, the EBRD will continue its annual investments in Ukraine of about €1.5B during wartime and will

USAID is increasing the total funding of a grant program to support the innovative transformation and development of Ukrainian enterprises to $11M. About 75 grants will now be provided within the program instead of 25. In addition, within the framework of the state program Affordable Loans 5-7-9%, Ukraine received a €50M grant from KfW. The funds will be used to refinance expenses. The Parliament of Bulgaria ratified an agreement with the EC to provide Ukraine with €3.6B in micro-financial assistance.