On the 412th day of the war, on 11 April 2023, the Ambassador of Ukraine to Denmark Mykhailo Vydoinyk took part in the presentation of the new program of the Denmark’s Export and Investment Fund (EIFO) organized by the Minister for Industry, Business and Financial Affairs Morten Bødskov, to finance bilateral projects of early and post-war reconstruction of Ukraine.
From the Ukrainian side, the event was attended by the First Deputy Minister for Finance of Ukraine Denys Uliutin, Deputy Ministers for Economy of Ukraine Oleksandr Gryban and Nadiya Bihun, the Mayor of Mykolaiv Oleksandr Sienkevych and Acting Chairman of Mykolaiv Regional Council Anton Tabunshchyk.
The specified program, which will be implemented within the framework of the Ukraine Fund, provides for the creation of a new EIFO state loan and guarantee scheme of a total of 1 billion DKK (over $150 million). Half of these funds will be directed to the implementation of projects at the state or municipal level. The other half goes for private business projects and initiatives (based on preferential lending).
The financing scheme will enable the purchase of Danish technologies and know-how on attractive terms. In particular, for the implementation of projects in the state or municipal sector non-refundable grant funds in the amount of up to 40% of the project cost are provided. It is assumed that EIFO will finance projects involving up to 50% of the Ukrainian component including the supply of goods or services, the use of local labour, etc.
The Embassy of Denmark in Ukraine will select the projects and coordinate their implementation. According to the agreement of the parties, an official presentation of the new program for business representatives is planned in the near future.
“We are happy to welcome the Government of Denmark which is ready to join the reconstruction and recovery of Ukraine using such tools as financial loan guarantee programs. Denmark has become one of the largest sponsors of Ukraine in terms of financial assistance, whose support has had a positive impact on the Ukrainian economy, given the consequences of the war,” said Deputy Minister for Economy Oleksandr Gryban.