EBRD to partially cover Ukrsibbank's risks under new loans of EUR 30 mln
The European Bank for Reconstruction and Development (EBRD) will cover up to 50% of Ukrsibbank's (Kyiv) credit risk when providing new loans of EUR 30 million to Ukrainian businesses and households.
"Focus on critical industries and energy investments, with EU support for competitiveness upgrades," the EBRD said in the press release on website.
The bank said this is the second application of a similar risk-sharing mechanism in its work with Ukrsibbank.
It is noted that up to 20% of the total sub-loans will be directed to finance long-term capital investments of micro, small and medium-sized enterprises to modernize their technologies and equipment in accordance with EU standards under the EU4Business-EBRD credit line. Eligible sub-borrowers will receive EU-funded technical assistance and grant support funded by the EBRD Crisis Response Special Fund (CRSF).
In addition, up to 10% of the total sub-loans will be allocated to residential sub-borrowers (households and housing associations) for investments in energy generation and storage and energy efficiency under the EBRD Energy Security Support Facility (ESSF). At least 70% of the sub-loans will support projects that meet the requirements of the Green Economy Transition (GET).
Residential sub-borrowers will receive technical assistance in structuring and implementing their energy investments. Grant support for eligible sub-borrowers will cover 20% of their investment costs and is funded by Canada through the High Impact Climate Action Partnership.
Sub-borrowers whose assets have been destroyed, lost or displaced due to war, or those involved in the reintegration of veterans into the workforce, will receive additional investment incentives.
The EBRD facility will be supported by first-loss risk coverage funded by France and the EU under the Ukraine Investment Facility (UIF).
According to the NBU, as of March 1, 2025, Ukrsibbank was the seventh largest bank in Ukraine in terms of total assets (UAH 169.2 billion), or 4.5% of the market.
The majority shareholder of the bank with 60% is BNP Paribas (France), another 40% belongs to the EBRD.