Since the start of 2024, Ukrainian entrepreneurs have received 18,532 loans totaling UAH 69 billion under the "Affordable Loans 5-7-9%" program. This initiative focuses on facilitating investment goals and enhancing the energy capabilities of businesses, including condominiums and housing cooperatives. The information was reported by the Ministry of Economy.
Weekly Update
In the past week alone, Ukrainian businesses secured 375 loans amounting to UAH 1.1 billion through the program. This reflects a sustained interest and reliance on the initiative to support business operations and growth.
Program Impact Since Inception
- Since February 2020: The program's launch has seen 97,500 loans issued, totaling UAH 335.9 billion.
- 2024 Highlights: So far this year, 18,532 loans have been granted on preferential terms, emphasizing the program's ongoing success and importance to the Ukrainian economy.
Government Focus on Investment and Energy Development
The government has tailored the "Affordable Loans 5-7-9%" program to prioritize:
- Investment Goals: Encouraging businesses to expand and modernize.
- Energy Capabilities: Supporting projects that enhance energy efficiency and sustainability for businesses and residential entities.
The share of loans directed towards these areas is consistently growing, demonstrating a commitment to economic recovery and modernization.
Official Statement
Andriy Telpyuk, Deputy Minister of Economy, commented on the program's significance:
"The government has focused the conditions of the 'Affordable Loans 5-7-9%' program on investment objectives and the development of energy capabilities for businesses, condominiums, and housing cooperatives. The proportion of such loans is steadily increasing. Through preferential funding, Ukrainian enterprises are expanding production and increasing the output of high value-added products. This contributes to economic recovery, job creation, and increased budget revenues. Even businesses operating in high-risk areas can obtain soft loans."
Allocation of Funds
Under the program, businesses have received:
- UAH 18.4 billion for replenishing working capital
- UAH 16.1 billion for lending in high military risk zones
- UAH 16.0 billion for processing activities
- UAH 14.5 billion for investment loans
Program Beneficiaries
The most active participants are enterprises in the:
- Agriculture Sector
- Processing Industry
- Trade Sector
Regional Leaders
Regions leading in loan volumes include:
- Lviv Oblast
- Dnipropetrovsk Oblast
- Odesa Oblast
- Kyiv Oblast
- Kharkiv Oblast
- Vinnytsia Oblast
- Poltava Oblast
- Kyiv City
Bank Participation
A total of 46 banks support the program. The top three banks issuing the most loans are:
- PrivatBank: 45,400 loans
- Oschadbank: 15,100 loans
- Raiffeisen Bank: 5,400 loans
About the "Affordable Loans 5-7-9%" Program
Launched in February 2020, the program aims to provide accessible financing to small and medium-sized enterprises (SMEs) in Ukraine. By offering loans at reduced interest rates of 5%, 7%, or 9%, the initiative helps businesses overcome financial barriers, invest in development projects, and contribute to the nation's economic growth.
Key Objectives:
- Support SME Development: Enhance the competitiveness and productivity of small and medium businesses.
- Promote Economic Recovery: Stimulate economic activity, especially in regions affected by military risks.
- Encourage Modernization: Enable businesses to adopt new technologies and improve energy efficiency.
