Investment & Fund Management

The European Investment Fund (EIF) has successfully launched the first deal under the EU’s Ukraine export credit guarantee facility, in collaboration with Denmark’s export credit agency, EIFO. This initiative aims to support EU businesses in trading with Ukraine, particularly in light of the ongoing economic challenges faced by the country. The specific issue addressed was the need for financial backing to facilitate export transactions, which are crucial for sustaining Ukraine's economy and aiding its recovery.

The tailored solution provided through this facility includes a guarantee of up to €20 million for export credit transactions, specifically designed to support Danish SMEs and mid-caps exporting essential goods, technologies, and services to Ukraine. This agreement is part of a broader effort, with plans for 13 similar agreements across EU member states, aimed at bolstering trade relations and economic integration between the EU and Ukraine.

Quantifiable results from this initiative indicate that it is expected to benefit up to 40 Danish companies, enabling them to access a market that is vital for the supply of machinery, clean energy, and pharmaceuticals. The facility, which has garnered significant interest, was oversubscribed shortly after its launch, highlighting the demand for such support. This agreement not only reinforces the economic ties between Denmark and Ukraine but also represents a strategic step towards Ukraine's future accession to the EU, thereby contributing to the long-term stability and growth of both economies.