Through banks, the Germans will credit small and medium-sized businesses in Ukraine for UAH 300 million

The German-Ukrainian Fund (GUF) has allocated UAH 300 million in the framework of the program for supporting small and medium-sized enterprises (SMEs) in Ukraine.

The program credits small and medium-sized enterprises with workforce of up to 250 people. The maximum amount of the loan is limited to the equivalent of EUR 250 thousand. The cooperation program envisages the provision of SME loans in UAH at 15% per annum. At the same time there is a periodic – every six months – revision of credit rates: if the rates on the credit market decline, the cost of lending for business will automatically decrease. The investment loans are granted for a period of up to six years; loans for financing working capital are up to two years.

The priority sectors of lending are light industry, processing industry, livestock and renewable energy.

GUF in this program acts as a second-tier bank, that is, it works with business entities through partner banks: ProCredit Bank, Ukrgasbank, Oschadbank, Creditvest Bank, Kredobank (Kyiv) and Megabank (Kharkiv).