Oschadbank and the European Investment Fund signed an agreement for a portfolio guarantee worth EUR 71.4 million to provide loans to Ukrainian businesses

On 10 November 2026 in Lviv, during the 18th Steering Committee of the Ukraine Donor Platform, Oschadbank and the European Investment Fund (EIF) signed an agreement to provide a partial portfolio guarantee to support lending to small and medium-sized enterprises in Ukraine.

The document was signed by Yurii Katsion, Chairman of the Management Board of Oschadbank, and Andrew McDowell, Director General of EIB Global. The signing ceremony was also attended by Oleksandr Kravchenko, Minister of Economy and Environment of Ukraine, and Katarína Mathernová, the European Union Ambassador to Ukraine.

The loan portfolio covered by the guarantee amounts to EUR 71.4 million, with the EIF guarantee providing 70% coverage. The guarantee facility will apply to loans to MSMEs, which may use the funding both to implement investment projects and to replenish working capital.

Provided the loan portfolio grows at a satisfactory rate, the parties may decide to increase the guaranteed amount to EUR 143 million.

“Signing of a new agreement with the European Investment Fund is an important step in the development of our long-standing cooperation and expanding financing opportunities for Ukrainian businesses. The previous programme demonstrated the effectiveness of this instrument: the guaranteed portfolio was successfully increased from initial 50 million to 100 million euros. We are now moving on to the next stage of our partnership, with the potential to build a portfolio of up to EUR 143 million. For Oschadbank, it is an opportunity to provide more active support to entrepreneurs who invest in the development of production, create jobs and ensure the resilience of the Ukrainian economy, even in the context of the war,” said Yurii Katsion, Chairman of the Management Board of Oschadbank.

“Our new guarantee agreement with Oschadbank is based on a solid partnership that continues to deliver tangible results for Ukrainian businesses,” — commented Andrew McDowell, Director General of EIB Global — Through risk-sharing, the European Investment Bank Group is helping to ensure access to much-needed finance for businesses facing challenges caused by Russia’s war. Together with Oschadbank and with the support of the European Union, we are helping Ukrainian companies to continue their operations, keep jobs and contribute to the country’s economic resilience and recovery.”

EU Ambassador to Ukraine Katarína Mathernová said: “Supporting Ukrainian businesses is an investment in Ukraine’s economic resilience, recovery and future within the European Union. These new agreements demonstrate how EU-backed financial instruments under the Ukraine Investment Framework can help unlock financing for Ukrainian MSMEs, enabling them to sustain operations, invest in growth and create jobs during extremely difficult environment caused by the Russian war of aggression.”

It is Oschadbank’s second agreement with the European Investment Fund regarding the provision of portfolio guarantees. The first agreement was signed in 2017. Under this programme, the amount of the guaranteed loan portfolio increased from 50 million to 100 million euros. The successful implementation of the first programme laid the foundations for continuing and scaling up the cooperation.

Delegations from both institutions witnessed the practical results of the partnership between Oschadbank and the EIF during a visit to one of the bank’s clients in Lviv — CANDLE GROUP UKRAINE LLC, a Ukrainian producer of long-burning solid-fuel boilers under the CANDLE brand, modular boiler rooms and metal products. The company was visited by Yurii Katsion, Chairman of the Management Board of Oschadbank, Andrew McDowell, Director General of EIB Global, Matteo Rivellini, Head of EIB Ukraine Investment Team, and Kristina Mikulova, Head of the EIB Regional Hub for Eastern Europe.

In 2023, Oschadbank provided the company with a loan of UAH 12 million, backed by an EIF guarantee. The funds were used to purchase raw materials and supplies. This enabled the company to scale up production, expand its product range, increase sales and strengthen its position in the domestic and European markets.

Today, the company’s production capacity allows it to produce up to 3,000 boilers a year. Its products are European-certified and are exported to the Baltic states, Denmark, Hungary and Moldova. In 2026, Oschadbank granted the company three loans totalling UAH 22.35 million.

“Our history of cooperation with CANDLE GROUP Ukraine is a specific example of how international guarantee instruments translate into tangible results for Ukrainian businesses. Thanks to the EIF guarantee, the company was able to secure the necessary financing under the difficult conditions of wartime, ensure production stability and more than double its sales compared to 2022. It is particularly important to us that the support of international partners not only helps businesses overcome current challenges, but also lays the groundwork for their growth, the development of exports and the strengthening of the competitiveness of Ukrainian producers,” emphasised Yurii Katsion.

Oschadbank is consistently developing its cooperation with international financial organisations, utilising guarantee mechanisms to expand Ukrainian businesses’ access to credit resources. This enables enterprises to finance their day-to-day operations, invest in production and implement development plans, while allowing the Ukrainian economy to maintain its growth potential.