Ministry of Economy, Environment and Agriculture: Denmark allocates additional DKK 500 million to support investments in Ukraine

Denmark will allocate at least an additional DKK 500 million to the Ukraine Fund, which supports investment in Ukraine. This was announced during a meeting in Copenhagen between a Ukrainian delegation, led by Prime Minister Yulia Svyrydenko and including Minister of Economy, Environment and Agriculture Oleksii Sobolev, and Danish Minister for Industry, Business and Financial Affairs Morten Bødskov. The funds will be used to guarantee investments by Danish companies in reconstruction projects through Denmark’s Export and Investment Fund (EIFO).

During the meeting, the parties signed a Memorandum of Understanding to continue and strengthen cooperation under Denmark’s support model.

“Today’s visit to Denmark begins with an important decision – the Danish government is allocating DKK 500 million to the Ukraine Fund. This is guarantee capital that enables EIFO to support investments and export projects worth at least DKK 1.5 billion. The mechanism reduces risks for businesses and opens the way for Danish companies to take part in Ukraine’s reconstruction. We highly value Denmark’s consistent support since the very first day of the full-scale war,” said Prime Minister Yulia Svyrydenko.

Around 100 major Danish companies are currently investing in Ukraine. The Governments of Denmark and Ukraine are working to create the most favourable conditions for investment and cooperation between Ukrainian and Danish businesses. Denmark actively supports defence and infrastructure projects. Notably, EIFO guarantees facilitated the import of equipment for the second phase of the Tyligulska wind power plant, enhancing Ukraine’s energy security.

“We are grateful to the Danish government for expanding support through EIFO and increasing funding for the Ukraine Fund. This means Danish companies will be more active in our market, as the export credit agency will cover their investment risks,” said Minister Oleksii Sobolev.

Danish Minister for Business Morten Bødskov emphasised that Denmark has stood shoulder to shoulder with Ukraine since the first day of the brutal war and remains committed.

“I am pleased and proud that we, once again, will make a significant contribution to the work of rebuilding the country. At the same time, it is a great honor to welcome Prime Minister Yulia Svyrydenko to Denmark. This is a fantastic opportunity to further strengthen the cooperation between our countries and assure the Ukrainian people that their Danish friends are helping with all we can,” said Morten Bødskov.

The parties discussed further cooperation. Ukraine is interested in shifting the focus of support towards financial assistance in national currency to reduce business risks. It was also stressed that support tools and programmes should cover all key sectors, including defence. To ensure security, Ukraine needs to strengthen its defence-industrial complex, which requires access to financing.

Background

The Ukraine Fund is a scheme administered by Denmark’s Export and Investment Fund (EIFO), which helps Danish companies export to and invest in Ukraine. Under the scheme, EIFO assumes the risks involved in doing business in Ukraine. So far, guarantees have been provided for projects in, among others, the agricultural sector, the energy sector, and the health sector.

With the new funds, new guarantees can be provided for at least DKK 1.5 billion. The money for the fund is part of the Danish government’s proposal for the 2026 Finance Act.