EIB signs new agreements with Ukraine

The EIB portfolio includes 25 projects in Ukraine worth €5 billion.

Ukraine and the European Investment Bank (EIB) have signed agreements to finance the restoration of energy and critical infrastructure, as reported on the government portal with reference to the results of EIB President Nadia Calvino’s first visit to Ukraine. In particular, the EIB is allocating €16.5 million for critical infrastructure restoration and energy efficiency implementation. These funds, provided by the German Ministry for Economic Affairs and Climate Action, will be used for renewable energy facilities, according to an EIB press release.

Agreements for a €100 million loan and financial guarantees were signed with Ukrainian banks, including Ukreximbank, ProCredit Bank, and Ukrgasbank, to support small and medium-sized enterprises (SMEs) in Ukraine. These agreements facilitate the potential to attract an additional €400 million under similar programs.

The EIB also approved financing for four projects under the Ukraine Facility program, totalling €420 million. €100 million is allocated to the Ukraine Recovery III project, which focuses on the restoration of infrastructure damaged by Russian aggression and the construction of new basic infrastructure to provide decent living conditions for displaced persons and communities.

An additional €100 million will fund the Ukraine District Heating programme (financing centralised heating projects), implemented through Ukreximbank. Similarly, €100 million will support the Ukraine Water Recovery programme (restoration of water supply and sewage systems, including measures to mitigate the consequences of the Kakhovka Dam destruction). The remaining €120 million will support Ukrhydroenergo.

Additionally, the EIB will finance Ukraine’s access to the pan-European emergency number 112, used in countries outside the EU like Switzerland and South Africa, and accessible worldwide on GSM mobile networks. The total implementation cost in Ukraine is €40 million. In total, the EIB is financing 25 projects in Ukraine for a total of €4.95 billion.