UKEF Backs £26.3m Ukraine Loan For Reconstruction Of Kyiv Bridges

The Ukrainian government is able to start rebuilding war-damaged bridges near Kyiv due to a £26.3 million (equivalent) loan backed by UK Export Finance.

The loan, backed by the UK Government, allows the Ukrainian government to start rebuilding six bridges, from those damaged by shrapnel to those which have been completely destroyed. When rebuilt they will reopen vital supply routes and critical transport links near Kyiv.

The loan was announced as part of the Ukraine Recovery Conference, held in London on 21 to 22 June. The event brought together the public and private sectors to discuss how to accelerate and support the reconstruction of Ukraine.

In an unprecedented transaction from any export credit agency, UKEF agreed to issue a buyer credit loan guarantee that allows the Ukrainian government to access financing from Citi, unlocking crucial funds for Kyiv Oblast’s Road Service. It will enable the reconstruction project to draw upon support from UK manufacturers, who are expected to supply steel components, critical materials and design services to principal contractors Onur Group and Doğuş.

Nusrat Ghani, Minister of State at the Department for Business and Trade, said: “It is vital that we help Ukraine repel Putin’s invasion and return as a more prosperous, more resilient economy. Export credit is one part of over £4.7bn in non-military assistance which the UK has provided to Ukraine, and the backing of UK Export Finance is another step towards recovery.”

Sergii Marchenko, Ukraine’s Minister of Finance, said: "Russia's war against Ukraine has caused enormous damage to Ukraine's infrastructure. The UK Government’s financial support for restoring these bridges is a significant contribution to the Ukrainian government's recovery efforts. It will help to accelerate trade turnover, thereby creating better conditions for business development since Kyiv serves as the nation's important logistics hub. It moreover fosters a conducive environment for Ukrainians to return home to, which is vital for the sustained operation of the country's economy and its further recovery.”

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