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 long-term capital investments of businesses to modernize technologies and equipment to EU standards, including investments in green technologies. Sub-borrowers will receive EU-funded technical assistance and grant support as an investment incentive after the completion of the relevant investment projects.
OTP Leasing is a Ukrainian company founded in 2008 and is part of the European financial OTP Group. By 2023, the company accounted for approximately 41% of the market by the volume of its leasing portfolio, which amounted to $268M.