How will the EU’s Ukraine Investment Framework program work?

The Ukraine Investment Framework (UIF) is an investment tool of the Ukraine Facility program, which is designed to mobilize investment for Ukraine’s recovery and development. Funding under this instrument will be provided through international financial organizations and bilateral development agencies. This will allow the expansion of existing and the launching of new Ukrainian business support programs.

The instrument guarantees €7.8B in support, making operations in Ukraine less risky and mobilizing more resources for Ukraine. This means that for every €1 of guarantees, monetary financial institutions (MFI) can allocate €2–4 for investment in Ukrainian projects. Accordingly, more entrepreneurs will be able to receive funds.

Ukrainian partner banks will also provide business financing, which can work more actively with businesses. Another €1.5B under the UIF is earmarked for blended financing, grants, and business technical assistance. These funds will also be distributed through MFIs and Ukrainian banks.

The first investment program documents will be signed at the URC in Berlin on June 11-12.