Within the scope of implementation of the "Energy Efficiency in Municipalities" project, an Agreement was inked between the Cabinet of Ministers of Ukraine, the German state bank the "Reconstruction Credit Institution" (KfW), Zhytomyr and Zaporizhia city councils. The document stipulates for the financing of measures to improve energy efficiency in public buildings. Funding is provided in the amount of EUR 25.5 million in the form of a loan and EUR 1 million in the form of a grant. Thanks to the program, a comprehensive thermal modernization will be carried out in 80 schools and kindergartens in Zhytomyr and Zaporizhia. This was announced by Minister for Communities and Territories Development Oleksii Chernyshov.

"Signing an agreement with KfW is another step towards Ukraine's energy independence. The assistance of our German partners will allow to reduce the expenditures of local budgets in the future, in particular, Zaporizhia and Zhytomyr. And most importantly - will reduce CO2 emissions and thus contribute to the achievement of climate goals. In 2022, within the framework of state programs, thermal modernization of a significant number of buildings in all regions of Ukraine is planned," Oleksii Chernyshov stressed.

For their part, Volker Oel, Regional Commissioner of the Federal Ministry for Economic Cooperation and Development of Germany and Kurt Strasser, Head of KfW Representative Office in Ukraine underlined that cooperation between the two countries is fruitful and the agreement provides additional opportunities to strengthen Ukraine-Germany cooperation.

"The German Federal Government systematically supports Ukraine on the path of the decentralization reform and the resulting strengthening of local self-governance. Also, Germany is a consistent promoter of sustainable and energy-efficient management of municipal infrastructure. The German side is pleased to be able to contribute to the environmental, economic and social benefits Ukraine shall get from the implementation of the KfW "Energy Efficiency in Municipalities" project. We appreciate the commitment demonstrated by the Ukrainian side, particularly the Ministry for Communities and Territories Development of Ukraine, and wish the project stakeholders a smooth and effective project implementation! ", Volker Oel stressed.

"As a development finance institution KfW has substantial and diversified experiences in the area of municipal infrastructure development, back in Germany and in many other countries worldwide. We are therefore eager to share our resources and expertise with the Ukrainian municipalities. We express gratitude to the teams of Ministry for Communities and Territories Development of Ukraine and Ministry of Finance of Ukraine, as well as to counterparts from the partner cities, for the professional and cooperative approach and look forward to the implementation of this interesting and most relevant project", Kurt Strasser emphasized.

It should be noted that the Agreement stipulates for the provision of long-term loans to municipalities of two cities on favorable terms.