Ukrainian banks have already agreed on UAH 4.3 billion in loans to support energy for businesses, citizens and municipalities: Yuliia Svyrydenko

Ukrainian banks are ramping up lending to entrepreneurs to implement projects to restore energy infrastructure and build alternative energy sources. Since the beginning of summer, twenty Ukrainian banks have agreed on loans worth UAH 4.3 billion. This was announced by Yuliia Svyrydenko, First Deputy Prime Minister of Ukraine and Minister of Economy of Ukraine, during the Congress of Local and Regional Authorities under the President of Ukraine.

"The Government has developed a number of tools to support the energy sector to ensure the upcoming heating season. Recently, we have expanded the capabilities of the Affordable Loans at 5-7-9 programme to support the energy capacity of both businesses as well as condominiums and housing cooperatives. An interest-free loan programme is now available for household owners. Alongside government programmes, there are also separate offers from banks. And we can see that businesses are increasingly taking out loans for alternative energy projects and energy infrastructure restoration. As of 1 June, according to the NBU survey, banks have already approved 504 loan applications worth UAH 4.3 billion," said Yuliia Svyrydenko.

According to her, foreign banks agreed the largest amount of loans for energy needs for businesses - UAH 2.4 billion (114 applications).

The total amount of loan applications received since the beginning of the survey was UAH 42 billion (1,525 applications). The largest amount of applications was received by state-owned banks - UAH 32.7 billion (1,144 loan applications).

The following credit instruments are currently available to businesses and individuals:

• Extended programme ‘Affordable Loans at 5-7-9%’ for businesses to purchase and install gas-fired power generation units. The soft loan amount is up to UAH 150 million and the loan term is up to 10 years.
• Concessional lending for energy infrastructure rehabilitation projects provided by 19 of Ukraine's largest banks. The loan amount can be up to EUR 25 million. The loan term is up to 5-7 years.
• Affordable Loans at 5-7-9% programme for condominiums and housing cooperatives. The loan amount can be up to UAH 5 million for up to 5 years at 7% per annum. The programme works in combination with the GREENDim programme. Under this programme, condominiums and housing cooperatives will be eligible to receive compensation of up to 70% of the project cost after its completion.
• Concessional loans at 0% for households to install solar panels with energy storage systems and wind turbines. The loan amount is up to UAH 480,000. The loan term is 10 years.