Enterprises that lost their production facilities due to the war will be able to receive up to UAH 60 million in soft loans

The Cabinet of Ministers, at a meeting on October 14, 2022, approved a resolution on providing preferential loans to enterprises that suffered as a result of the war. Prime Minister of Ukraine, Denys Shmyhal, reported about it on his Telegram channel.

Enterprises that lost their production facilities due to the war will be able to receive up to UAH 60 million in soft loans. It is about facilities that were destroyed, damaged or located in the occupied territories.

This program will allow some businesses to resume their work. The loan will be provided for investment purposes or for working capital financing. The state provides up to 80% of the loan’s body to the bank. The loan is granted for up to 5 years. A new or updated enterprise cannot be located closer than 50 km to the battle line.

“We know that there are dozens and hundreds of businesses in Ukraine that are ready to resume work, invest their own funds, return employees, but they needed additional support from the state. We will now provide such support,” said Denys Shmyhal.

As GMK Center reported earlier, the Cabinet of Ministers, on the instructions of the President of Ukraine Volodymyr Zelenskyi, has started the development of a grant program to support small and medium-sized businesses.

According to the survey data of the European Business Association, about 98% of Ukrainian companies suffered losses due to Russia’s military aggression against Ukraine. During the 100 days of the active phase of the war, 48% of Ukrainian companies suffered losses of up to $1 million, another 37% – up to $10 million, and 12% reported a loss of more than $10 million.