EU-Backed EIB Agreements Expand Finance for Ukrainian Firms Hit by Russia’s War

EIB Group Vice-President Karl Nehammer said small and medium-sized businesses are central to Ukraine’s economy and will be needed for its recovery.

The European Investment Bank (EIB) Group has signed three agreements with Ukreximbank, Oschadbank and PrivatBank to help Ukrainian businesses access financing during Russia's ongoing war. Backed by the European Union through the Ukraine Investment Framework, the agreements support business activity and the country's recovery. They combine guarantees for new loans with grants that can reduce financing costs for eligible small and medium-sized enterprises (SMEs).

Guarantee agreements with Ukreximbank and Oschadbank are expected to unlock €286 million in loans for about 2,200 Ukrainian SMEs. Each bank can provide up to €143 million, giving businesses access to financing on more favourable terms. The European Investment Fund (EIF), part of the EIB Group, is implementing the guarantees through the Ukraine Facility Partial Portfolio Guarantee.

A separate €3.4 million grant agreement with PrivatBank will support businesses affected by the war, including companies owned or run by veterans, internally displaced people, women and young entrepreneurs. Newly established businesses are also eligible for support. The grants will complement loans offered through EIB Group guarantee programmes, helping qualifying SMEs make financing more affordable.

Loans to sustain businesses and jobs

EIB Group Vice-President Karl Nehammer said small and medium-sized businesses are central to Ukraine's economy and will be needed for its recovery. Working with Ukrainian banks, he said, can help firms meet the challenges of war, protect jobs and secure the financing needed to keep economic activity moving. EU Ambassador to Ukraine Katarína Mathernová described the agreements as an investment in Ukraine's resilience, recovery and future in the European Union.

Mathernová said EU-backed financial tools under the Ukraine Investment Framework can help unlock funding for Ukrainian micro, small and medium-sized enterprises. The financing can help businesses maintain operations, invest in growth and create jobs amid the severe conditions caused by Russia's war of aggression. The agreements put that support into practice through loans and grants delivered by Ukrainian banks.

Ukrainian banks prepare to expand lending

Oschadbank Chairman of the Management Board Yurii Katsion said the bank's earlier cooperation with the EIF had grown its guaranteed loan portfolio from €50 million to €100 million. He noted that EIF guarantees helped Ukrainian producers secure financing to increase production, in some cases doubling output, and boost sales. The new agreement gives Oschadbank scope to build a portfolio of up to €143 million and support more businesses developing Ukrainian products for domestic and international markets.

Ukreximbank Management Board member responsible for Corporate Banking Andrii Moisieienko said the agreement will widen SMEs' access to working capital and trade finance, and support a broader range of investment projects during the war. The bank's experience delivering programmes with international financial institutions will help it put the financing to work for businesses. Moisieienko said the goal is to turn international support into investment, modernization and stronger competitiveness.

Grants complement lending

PrivatBank Management Board Chairman Mikael Björknert said cooperation with the EIB and EU support creates new opportunities for entrepreneurs who continue operating through the full-scale war. Pairing bank loans with direct European grants can ease the financial burden on businesses. That support can help companies protect jobs and modernize production, including in high-risk regions.