Switzerland to finance Ukraine’s contribution of EUR 6.4 million for the subscription to additional EBRD shares – Memorandum signed

Ukraine and Switzerland have signed a Memorandum of Understanding under which Switzerland will pay a EUR 6.4 million contribution on behalf of Ukraine for its subscription to additional shares as part of the European Bank for Reconstruction and Development (EBRD) capital increase.

The Memorandum was signed by Ukraine’s Minister of Finance Sergii Marchenko and Swiss Ambassador and Delegate of the Federal Council for Trade Agreements at the State Secretariat for Economic Affairs Dominique Paravicini. The signing took place on the sidelines of the EBRD’s 34th Annual Meeting and Business Forum, held this year in London.

Ukraine’s subscription to the additional shares will preserve its current shareholding percentage in the EBRD’s capital structure. This allows Ukraine to maintain its influence in the Bank’s decision-making, particularly regarding financing for Ukraine’s needs during the ongoing war with russia.

In late 2023, the EBRD Board of Governors approved a EUR 4 billion capital increase. Ukraine was allocated 3,227 additional shares, worth EUR 32.27 million.

Under the signed Memorandum, the Swiss side will make the first payment of EUR 6.4 million directly to the EBRD on behalf of Ukraine. The funds are provided on a non-repayable basis and therefore do not create debt obligations for the State Budget.

The Minister of Finance thanked Switzerland for this step and for its ongoing support. “I am grateful to our Swiss colleagues for their consistent support of Ukraine. This contribution is a sign of solidarity and a strong partnership between our countries. Ukraine’s participation in the EBRD’s capital is extremely important, as it enables investments in our economic recovery from the consequences of russia’s full-scale aggression. It is a signal of trust in Ukraine as a reliable partner and part of the global financial system,” commented Sergii Marchenko after the signing.

Following the signing of the Memorandum, the Minister of Finance held a meeting with Ambassador Dominique Paravicini. Marchenko expressed hope that bilateral cooperation would continue to deepen in the future.

According to data from the Kiel Institute for the World Economy, since February 2022, Switzerland has provided Ukraine with EUR 935 million in assistance – including EUR 720 million in humanitarian aid and EUR 215 million in financial support. This includes USD 30 million in direct budget grants.

The Ukrainian Minister of Finance also thanked Switzerland for its plans to allocate CHF 1.5 billion (approximately USD 1.7 billion) for humanitarian assistance and support for Ukraine’s economic development and long-term recovery under the Swiss International Cooperation Strategy for 2025–2028.