EBRD provides €70m loan to Ukrainian postal sector

The European Bank for Reconstruction and Development (EBRD) announced on Tuesday a €70 million loan to Nova Post, Ukraine’s leading private postal and courier operator, to support its 2024 investment programme.

“The loan will support the company’s long-term growth strategy, which envisages a transformation of its customer service model while keeping employees and clients safe in wartime,” said Arvid Tuerkner, the EBRD’s Managing Director for Ukraine and Moldova, in a statement.

EBRD’s loan will help Nova Post enhance its customer service model, improve safety measures, and expand its operations amid ongoing conflict.

EBRD’s Sustainable Infrastructure Group Managing Director Nandita Parshad emphasised the loan’s broader benefits, including safety, veteran reintegration, and expanded training opportunities for women.

The EBRD financing will be provided in Ukrainian hryvnia or euros, with a 10 per cent first-loss guarantee from the Ukraine Investment Framework Municipal Infrastructure and Industrial Resilience (UIF MIIR) programme.

Nova Post plans to use the funds to expand its parcel locker network, update post offices and terminals, and build safety shelters across Ukraine.

The loan also includes technical support to improve human resources policies and create employment opportunities for women, return migrants, and veterans. Nova Post, a key player in Ukraine’s recovery since the outbreak of the Russian war, operates over 30,000 service points and employs around 33,000 staff.

The EBRD is Ukraine’s largest institutional investor, having committed €4.5 billion since 2022 and planning further investments.

Attribution: EBRD statement

Sub-Editing: Y.Yasser