The European Bank for Reconstruction and Development (EBRD) has approved two projects with ProCredit Bank Ukraine worth up to €330mn in total to expand access to financing for businesses operating during the war, reported Ukraine Business News.

Under the first project, the EBRD will provide ProCredit Bank with an unsecured hryvnia-denominated loan equivalent to up to €30mn. The funding will be used to support lending to Ukrainian small and medium-sized enterprises, helping businesses maintain operations and finance growth despite continued economic uncertainty.

The second project involves a non-funded risk-sharing instrument covering up to €300mn in new loans issued by ProCredit Bank. Under the arrangement, the EBRD will partially cover the credit risk associated with the new lending portfolio, with its own commitment under the mechanism amounting to €90mn.

Of the planned €300mn loan portfolio, €240mn will be allocated to working capital and investment financing for private Ukrainian companies in sectors considered critical to the economy. These include agriculture, food production, retail and logistics.