The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) are launching the “Ukrainian SME Recovery” program, which is expected to provide approximately EUR135 million in financing and advisory support for small and medium-sized enterprises, larger companies, and startups in Ukraine, the financial institution announced on its website.
EU support under the program is being implemented through the Ukraine Investment Framework (UIF) and amounts to EUR46 million, including EUR41 million in guarantees and approximately EUR5 million in technical assistance.
According to the announcement, the program provides for financing at least 15 investment projects by Ukrainian companies, as well as advisory support for up to 34 startups.
The first component of the program will be implemented through the EBRD’s Risk Sharing Framework (RSF) in collaboration with partner banks. EU guarantees will be used to cover the first-loss risks of the EBRD and partner banks on a parity basis.
According to the bank’s assessment, this will expand Ukrainian companies’ access to long-term financing, particularly for the restoration and expansion of production assets and capacity.
The second component involves expanding the EBRD’s Star Venture program in Ukraine, aimed at supporting high-potential startups and developing an innovative ecosystem.
Under this initiative, selected startups, accelerators, and venture capital firms will receive advisory support. The funding is intended to help early-stage companies cover operational and market development costs and enhance their readiness to attract commercial investment.
The EBRD is the largest institutional investor in Ukraine. Since the start of Russia’s full-scale invasion in February 2022, the bank has allocated nearly EUR10 billion to Ukraine.
