The European Bank for Reconstruction and Development (EBRD) has approved a framework program of up to EUR2 billion under the EBRD’s Sustainability Package, the bank’s broad strategic approach in response to Russia’s war against Ukraine.
“The framework program will use various types of financial instruments for private clients, sovereigns, municipalities, municipal companies and other state-owned enterprises and financial intermediaries (including state-owned banks) in Ukraine and neighboring countries affected by the influx of Ukrainian refugees,” the message says. bank website on Thursday.
According to him, the Board of Directors made a decision on April 4. He included Bulgaria, Croatia, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Moldova, Poland, Romania, Slovenia and Slovakia among the affected countries.
Subprojects will be provided at the expense of the usual resources of the bank, including its financing under the guarantees of donors, the report specifies.
The overall goal of the program is to help support service delivery and protect business activity in Ukraine and affected countries, with the ultimate goal of preserving livelihoods, the EBRD said.
“For Ukraine, the framework covers all sectors, with a particular focus on energy security, vital infrastructure, food security and pharmaceutical supply chain support,” the release notes.
In the case of the affected countries, refugee-related issues will be addressed, and will mainly cover areas such as energy security, municipal and national infrastructure, and liquidity through capital markets and financial intermediaries.
“As a result of the war in Ukraine, the market for liquidity and long-term financing is practically closed, and in the affected countries is significantly limited, as both local and international financial institutions tighten risk appetite. provides greater financial security driven by unprecedented adverse market conditions and heightened uncertainty,” the paper concludes.
