EU to create 300 mln euro export credit guarantee facility to support exports to Ukraine

BRUSSELS. June 24 (Interfax) - The European Commission, European Investment Bank (EIB) and European Investment (EIF) have agreed to establish an export credit guarantee facility totaling 300 million euros under the European Union's InvestEU investment program.

The agreement was signed Friday at a meeting of EU finance ministers in Luxembourg, the EC said.

"Thanks to this facility, the EIF will now be able to use the InvestEU program to support European small and medium-sized companies exporting goods and services to Ukraine," the press release said.

The EIF will proceed in the next few weeks with a call for expression of interest to begin offering guarantees to export credit agencies to support businesses in EU member countries, as well as Norway and Iceland, that want to export to Ukraine, the commission said.

"This initiative aims to reduce financial risks, encouraging EU businesses to increase exports to Ukraine and revitalize trade. The facility will strengthen economic ties with the EU and contribute to Ukraine's economic recovery," the press release said.

"This facility will remove risk for EU companies wanting to export to Ukraine and will provide essential services and goods supporting the country's resilience and reconstruction, such as materials, machinery, technologies and vehicles," EIB Group president Nadia Calvino said in the press release.