EU, EBRD to provide EUR 28 mln for SMEs in Ukraine

The agreement was signed on May 20 by First Deputy Prime Minister and Economic Development and Trade Minister Stepan Kubiv, EU Ambassador Jan Tombinski and Head of EBRD operations in Ukraine Sevki Acuner. The EBRD will assist with the creation of a network of business support centers, in addition to using existing business support structures to establish operations in 15 regions of Ukraine. In addition to the current EBRD offices in Kyiv and Lviv, the latter now focusing on activities to support SMEs, new offices will be opened in Kharkiv in the east and Odessa in the south, widening and deepening the EBRD’s outreach and reflecting the importance that the Bank and the EU attach to the development of small private firms across the country. It is also envisaged that up to EUR 12 million of EU4Business funds will be used to support the EBRD’s direct financing of smaller enterprises. At least 50 SMEs are expected to be financed directly by the EBRD through a dedicated credit line worth EUR 100 million. "Today’s agreement paves the way for more development opportunities for Ukrainian SMEs. Advisory and financial support provided by the EU and the EBRD will make these companies stronger and more competitive domestically and internationally. The opening of two new offices and the development of a network of business support centers across the country also reflects our commitment and attention to supporting Ukraine’s economic growth," Acuner said.