The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) are preparing to launch a € 60 million credit line to finance small and medium-sized enterprises in Ukraine.
This was announced on March 15 at the presentation of the project in Kiev by the Managing Director of the EBRD in Eastern Europe and the Caucasus Matteo Patrone.
According to him, the EU4Business-EBRD credit line will provide enterprises with the opportunities opened up in connection with the Agreement on a Deep and Comprehensive Free Trade Area between the EU and Ukraine.
Thanks to lending, Ukrainian companies will be able to get long-term loans in local currency up to 3 million euros in equivalent.
He noted that such financing is now necessary, since small and medium enterprises provide almost 80% of jobs in Ukraine, but they account for only about 40% of GDP. “In 2018, exports of Ukrainian goods to the EU grew by 15%, while imports of goods from the EU increased by 11.5%,” he said, adding that credit lines help to preserve “these positive trends.”
According to the Ministry of Finance of Ukraine, for all the time of cooperation the EBRD has financed 410 projects totaling 13 billion euros.