How the State Guarantee Program Works
Ukraine’s portfolio-based state guarantee instrument, launched in December 2020, has become one of the most effective tools for sustaining business during wartime. By securing part of entrepreneurs’ loan obligations, the government allows banks to issue loans to SMEs at lower risk.
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Since launch: more than 49,000 loans issued worth ₴160+ billion.
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During martial law: over 44,000 loans issued, totaling ₴149 billion.
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July 2025 alone: entrepreneurs received 567 loans worth ₴2.2 billion, with ₴1.2 billion of this guaranteed by the state.
Scale of Current Support
As of August 2025:
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28 creditor banks service more than 23,000 active loans worth over ₴80 billion.
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Principal debt secured by state guarantees → ₴36.6 billion (already 71% of the total guarantee limit).
Leading banks by SME lending volume:
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Privatbank — 15,000+ loans.
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Oschadbank — 3,000+ loans.
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Ukrgasbank — 1,000+ loans.
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FUIB — 700+ loans.
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Ukreximbank — 500+ loans.
Why It Matters for Investors
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Resilient SME sector → Even during war, Ukraine shows strong support for its entrepreneurs, ensuring that small businesses remain operational and are ready to scale after the war.
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Risk-sharing mechanism → By covering part of the principal through state guarantees, Ukraine lowers credit risks for lenders — an approach that foreign banks and funds can replicate when entering the market.
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Investment gateway → SMEs form the supply chain backbone in agriculture, logistics, IT, energy, and manufacturing — sectors where foreign investors are already looking for local partners.
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Banking sector stability → With 28 banks actively participating, Ukraine demonstrates a functioning and competitive financial ecosystem that is able to deploy capital effectively.
✅ Key Takeaway for Foreign Investors: Ukraine’s record support for SMEs — over ₴160 billion in guaranteed loans — proves that even under wartime conditions, the state prioritizes entrepreneurship, market stability, and credit access. For international partners, this is both a signal of resilience and an opportunity to co-finance, insure, or partner with Ukrainian SMEs that will drive post-war reconstruction and integration into EU markets.
