1 Dec 2023 09:30

Germany to give Ukraine another 50 mln euro grant for small business loans

MOSCOW. Dec 1 (Interfax) - Ukrainian Finance Minister Sergei Marchenko signed a grant agreement with German state development bank KfW on Thursday for 50 million euros that will be used to subsidize interest rates on loans for small and medium businesses, Ukrainian media reported, citing the ministry press service.

"The funds will be used to finance the program Affordable Loans 5-7-9%, which will allow small and medium-sized businesses to continue to have access to concessional loans," Marchenko said.

The KfW grant of 50 million euros "will make a significant contribution to the activities of the Business Development Fund to improve the existing financial support programs for businesses," he said.

The head of the Ukrainian office of Germany's Federal Ministry for Economic Cooperation and Development, Ulrike Hopp-Nishanka recalled that the KfW provided 150 million for the Affordable Loans 5-7-9% program last year.

"These funds are an important part of the German-Ukrainian development cooperation, which in 2023 alone will amount to more than 600 million euros," she said.