Credit Agricole Ukraine signed an agreement with the EBRD for EUR 50 million
Companies will be able to receive technical assistance funded by the EU and grant support in the form of investment incentives
At the end of November 2023, Credit Agricole Ukraine signed a EUR 50 million risk-sharing agreement with the European Bank for Reconstruction and Development (EBRD) under the Resilience and Livelihoods program.
This will allow the bank to support capital investments by micro, small and medium-sized enterprises in the modernization of technology and equipment, the bank's press service reports.
The project is supported by the United States and the EU. Companies will be able to receive EU-funded technical assistance and grant support in the form of investment incentives after the completion of investment projects.
Attention will be focused on key sectors of the Ukrainian economy, including agriculture, food processing, and retail.
"Throughout almost all 30 years of its presence in Ukraine, Credit Agricole Bank has focused on supporting the entire Ukrainian agricultural ecosystem. The bank's market share in Ukraine is 12%, while agribusiness financing accounts for 50% of the bank's total loan portfolio. We believe in the resilience and high potential of the Ukrainian agricultural sector. In partnership with the EBRD, we will make every effort to help agribusiness recover and grow after the losses caused by the war," said Carlos de Cordoue, Chairman of the Board of the bank.
The EBRD's Resilience and Livelihood Guarantee (RLG) will cover up to 50% of the credit risk on the new sub-loans.
Since the beginning of the war, Credit Agricole Ukraine has financed agribusinesses for UAH 2.7 billion under the government program "Affordable Loans 5-7-9%" and issued almost UAH 1.3 billion under the Government's State Guarantee Program. Currently, the loan portfolio of agribusinesses of Credit Agricole Ukraine under the joint financing program with the EBRD amounts to UAH 0.5 billion.
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