Sayenko Kharenko has acted as Ukrainian legal counsel to the European Bank for Reconstruction and Development (EBRD) on providing a new unfunded portfolio risk-sharing facility to UKRSIBBANK.

EBRD’s facility will cover up to 50 per cent of UKRSIBBANK’s credit risk on EUR 30 million of new subloans. The subloans will be provided by UKRSIBBANK to borrowers in critical industries of Ukraine such as agribusiness, manufacturing, pharmaceuticals, transport and logistics, as well as residential borrowers who are looking to implement energy security projects.

The EBRD’s facility will be backed by first-loss risk cover funded by France and the European Union (under the EU’s Ukraine Investment Framework). Additionally:

  • Up to 20 per cent of total subloans will support the financing of long-term capital investments by micro, small and medium-sized enterprises, helping them to upgrade their technology and equipment in line with European Union (EU) standards under the EU4Business-EBRD Credit Line. Eligible subborrowers will also receive EU-funded technical assistance and grant support funded by the EBRD’s Crisis Response Special Fund.
  • Up to 10 per cent of total subloans will be granted to residential subborrowers (households and housing associations) to finance energy generation, energy storage and energy efficiency investments under the EBRD’s Energy Security Support Facility. At least 70 per cent of subloans will finance projects supporting the transition to a green economy.
  • Residential subborrowers will receive technical assistance with the structuring and implementation of their energy investments. Grant support for eligible subborrowers will cover up to 20 per cent of their investment costs and will be funded by Canada through the High-Impact Partnership on Climate Action.
  • Subborrowers whose assets have been destroyed, lost or relocated due to the war will be supported by additional investment incentives, as will subborrowers who are engaged in reintegrating veterans into the workforce.
  • EBRD is the largest institutional investor in Ukraine, with cumulative investment of more than EUR 22 billion across more than 600 projects. Since the start of Russia’s full-scale invasion, EBRD has deployed more than EUR 7 billion in Ukraine’s real economy.

Sayenko Kharenko team included Igor Lozenko, Oles Trachuk, Artem Medvetskyi, and Mykola Suprunovych.