Ukraine could get another boost from EBRD; latter says it needs to attract largest possible number of Ukrainian banks to the planned project
pment is studying the possibility of developing a program in Ukraine to assist foreign trade to be implemented jointly with commercial banks, an EBRD representative said, Ukrainian News reported.
The program, developed by the EBRD last year, proposes to provide guarantees and surety for the payment of foreign trade deals executed using documentary operations.
Within the framework of the program, the EBRD could endorse commercial banks’ letters of credit and promissory notes presented when their clients pay foreign trade contracts. It could also open credit lines for banks so they can refinance clients.
The EBRD will start negotiating on this subject with commercial banks next week, when a group of EBRD experts headed by senior banker Ann Fosmale arrives Kyiv.
“It is very important that as many as possible Ukrainian banks are attracted,” said the EBRD representative.
The EBRD has already opened two programs in Ukraine, implemented jointly with accredited commercial banks and comprised of two credit lines to support small and medium business of 100 million euros and $88 million.
The first credit line has already been used; the second one will begin operation soon.
The EBRD accredited seven banks for the second line – Bank Agio, Aval, Nadra, Privatbank, Kyiv-Privat, Bank Forum, and Gazprombank.
