Recently, Denmark has become a leading provider of commercial support to Ukraine. The Danish government has done this through a fund that provides various commercial financing tools and reduces risk for companies investing and trading with Ukrainian partners.
Public funding is crucial in attracting private investors. Currently, more than 100 Danish companies conduct commercial activities with Ukraine. This was achieved thanks to the Danish Export Investment Fund (EIFO), which offers 100% risk coverage for Danish exporters when investing in Ukraine and 100% risk mitigation during construction or production as part of export contracts.
Some investments from private Danish companies would only be possible with risk capital backed by Danish financial institutions. These efforts can provide loans and guarantees worth almost €140M, and the portfolio already has more than 15 different projects.
Also, Denmark’s fund for Ukraine allocated about €15M to support the IFU fund for the recovery of Ukraine’s economy with the help of the private sector.