The European Investment Fund (EIF), a member of the European Investment Bank (EIB) group, and Finland’s official export credit agency, Finnvera, have signed a EUR 30 million guarantee agreement to support exports of Finnish small and medium-sized enterprises (SMEs) to Ukraine.
According to the European Commission, the pilot project was signed under the InvestEU program and is part of the EU’s broader efforts to strengthen economic ties with Ukraine and support its recovery and accession process.
“The agreement allows Finnvera to issue export credit facilities to Finnish companies trading with Ukraine under the EIF guarantee under the InvestEU export credit guarantee facility. This is one of 13 agreements being prepared with national export credit agencies in EU member states under this mechanism,” the European Commission said in a statement on its website on Tuesday.
It is noted that the pilot project will support Finnish SMEs and medium-sized companies with fewer than 500 employees to help manage risks and access new opportunities in Ukraine, even in times of war. The EIF guarantee complements the national loss-sharing mechanism introduced by the Finnish Ministry of Economic Affairs and Employment, which allows Finnvera to issue export guarantees to Ukraine under exceptional conditions.
“I welcome this agreement… Thanks to the support of the EU budget and the EIF, the export program helps EU companies to continue trading and strengthen our economic ties with Ukraine. In this way, it contributes to the further integration of the EU and Ukrainian economies, as well as to Ukraine’s recovery. I hope that more deals will be concluded through this program in the near future, benefiting both EU businesses and the Ukrainian economy,” commented Valdis Dombrovskis, Commissioner for Economic and Productivity, Implementation and Simplification.
EIF Executive Director Marjut Falkstedt noted that the fund had made significant efforts to launch this program quickly, recognizing its potential to strengthen EU SMEs and support Ukraine’s economic stability at a critical time. She noted that the introduction of the guarantee is an important step, and similar agreements in other EU countries will further extend its impact.
In addition, according to Finnvera’s CEO, it is extremely important from the export credit agency’s point of view that it is possible to support Ukraine’s recovery efforts while creating opportunities for Finnish companies.
