24 Oct 2023 16:55

American DFC to finance five projects in Ukraine costing $380 mln

MOSCOW. Oct 24 (Interfax) - The U.S. International Development Finance Corporation (DFC) has approved financing of five projects in Ukraine with a total value of more than $380 million, Ukrainian media reported, citing a message from the press service of the Ukrainian Economy Ministry.

The projects are aimed at supporting food security, small businesses, the healthcare system and international trade.

"In particular, DFC has allocated $250 million to support the efforts of Ukrainian poultry farmers and grain producers," the ministry said in a statement on its telegram channel.

It was previously reported that the Ukrainian agricultural holding MHP, the country's largest chicken producer, announced in October that it had received a $250 loan from DFC. These funds will be used both to refinance debt that is approaching maturity and to support poultry and grain production.

The Ministry of Economy also reports that the corporation has entered into two separate agreements totaling $60 million with Ukrainian banks to mobilize capital to continuously support small and medium-sized businesses by facilitating their access to financing in Ukraine. SMEs will be able to access bank loans on preferential terms, as DFC guarantees will be used to supplement borrowers' collateral.

Another project concerns $50 million in guarantees for the International Finance Corporation's (IFC) global program, which has expanded Ukrainian banks' access to international trade finance.

It will also provide $25 million in political risk insurance for the Superhumans Center, a nonprofit center that works in prosthetics and rehabilitation.

First Deputy Prime Minister - Minister of Economy Yulia Sviridenko, who is quoted in the message, noted that the cooperation between DFC and Ukrainian companies and banks increases the stability of the country's economy "and sends a powerful signal to investors from all over the world that they should not be afraid to invest in Ukraine."