EBRD backs Ukraine’s industries with €690m

The European Bank for Reconstruction and Development (EBRD) is providing new guarantees to Ukraine’s banking sector, unlocking €690 million in financing to support critical industries during the ongoing war.

The EBRD is extending unfunded portfolio risk-sharing facilities to PrivatBank, Ukrgasbank, KredoBank, and Bank Lviv, partially covering the credit risk on loans worth up to €400 million, €150 million, €100 million, and €30 million, respectively.

These facilities, backed by the EU’s Ukraine Investment Framework, will allocate 20 per cent to micro, small, and medium-sized enterprises (MSMEs), encouraging investments in EU-compliant technologies.

Additionally, PrivatBank and Ukrgasbank will enable €175 million and €150 million in energy security lending under the EBRD’s Energy Security Support Facility.

Since Russia’s invasion, the EBRD has facilitated over €2.5 billion in financing for Ukraine’s private businesses and deployed more than €4.5 billion overall.

With a recent €4 billion capital increase, the Bank aims to continue its vital work supporting Ukraine’s energy security, infrastructure, and trade.

Attribution: The European Bank for Reconstruction and Development (EBRD)

Subediting: M. S. Salama