The EIB has financed almost 50 business projects in Ukraine, creating 260,000 jobs
Among the projects is the restoration of Boryspil Airport, which was suspended due to risks to infrastructure during the war
The European Investment Bank (EIB) has not stopped, but rather increased its financial support for Ukraine since the beginning of the Russian invasion. This assistance is mainly aimed at such areas as civilian infrastructure, energy, transportation, and the reconstruction of social facilities. This was stated in an interview with Eric de Zagon, who has been heading the EIB Delegation to Ukraine since 2018.
"Our portfolio today amounts to EUR 7.3 billion, of which a significant part, namely EUR 5.7 billion, was allocated after the Revolution of Dignity. In general, the EIB funds are allocated to the following sectors: transport – €2.8 billion, energy – €1 billion, and municipal infrastructure – €1.5 billion," he said.
The EIB is actively supporting the development of municipal transport in Ukraine, having invested more than €850 million in improving the country's transport infrastructure. The main focus is on the modernization of urban public transport, including the purchase of new trolleybuses, trams, buses and subway cars for various cities of Ukraine, the EIB representative noted.
"Before the war (full-scale war – ed.), the EIB signed a €270 million loan with the Ukrainian government to modernize Boryspil International Airport. However, due to the current situation, the project has been suspended, given the risk of infrastructure destruction," said Eric de Zagon.
"In total, our portfolio includes about 50 projects, many of which are aimed at supporting small and medium-sized businesses, amounting to approximately €2 billion, or 27% of the EIB's total portfolio in Ukraine. Large private enterprises have received funding worth almost €500 million," he elaborated.
According to him, thanks to the EIB funding, loans for small and medium-sized enterprises continue to be issued despite the war.
"In particular, EUR 1.6 billion has been allocated for credit lines for Ukrainian banks lending to small and medium-sized businesses. Almost 1,500 small and medium-sized enterprises have already taken advantage of the loans," the financier said.
"When we start a dialog with banks in Ukraine, they emphasize that it is too risky to lend to small and medium-sized businesses today. The reason is on the surface – the war is ongoing. At the same time, when the EIB talks to representatives of Ukrainian businesses, they emphasize their continued activity and the need for financing. Thus, the demand for loans remains, despite the difficult conditions," explained the EIB representative.
Read more about the areas in which the European bank invests the most in Ukraine in the interview with Mind "Head of the European Investment Bank in Ukraine: "Ukraine's total reconstruction needs amount to $411 billion".
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