Ukrgasbank (UGB) has received the first tranche under the agreement, the bank’s press service reported on January 30. The funds will be used to expand access to financing for small and medium-sized enterprises in Ukraine.
The program provides for the issuance of investment loans in hryvnia for projects focused on business recovery, modernization, and expansion. The financing combines EFSE resources with grant support, primarily targeting small and micro businesses in the agribusiness sector.
A dedicated component of the program is aimed at supporting enterprises affected by the war, particularly those requiring urgent restoration of production capacity and operational assets. Financing may also be used for capital investments, modernization and reconstruction of production facilities, as well as the development of logistics and transport infrastructure, including the repair or replacement of damaged equipment and vehicles.
Special attention will be given to businesses located in regions most affected by hostilities, as well as companies owned or managed by women, young entrepreneurs, and veterans.
EFSE representatives noted that cooperation with Ukrgasbank is intended to support the resilience of small and medium-sized enterprises amid wartime conditions and contribute to economic recovery.
The European Fund for Southeast Europe (EFSE) was established in 2005 on the initiative of KfW Development Bank with the support of Germany’s Federal Ministry for Economic Cooperation and Development (BMZ) and the European Commission. The fund mobilizes capital from donors, international financial institutions, and private investors. Finance in Motion GmbH acts as EFSE’s investment advisor, while Hauck & Aufhäuser Fund Services S.A. serves as fund manager.
Finance in Motion manages nearly €4bn in investments across 10 funds and has been active in emerging markets for more than 20 years.
Ukrgasbank (UGB) is a state-owned Ukrainian bank operating across all segments of banking services and specializing in financing projects related to sustainable development, energy efficiency, and environmentally responsible business.
Source: https://inventure.com.ua
