Germany to provide loans for textile development in Ukraine


The German-Ukrainian Fund (GUF) together with Kredobank, which is part of Poland’s PKO BankPolski, have agreed to lend UAH1bn (US$37.5m) to small and medium-sized Ukrainian textile enterprises.

Valery Mayboroda, acting director of GUF, said the loans will be provided under a floating interest rate, which currently stands at 15%. The agreement is part of the Small and Medium-Sized Business Assistance Programme, which is implemented in the Ukrainian textile industry and funded by the German government through the German state development bank KfW.

The programme involves the provision of loans to small and medium-sized textile enterprises with up to 250 employees.

Investment loans are granted for a period of up to six years; loans for financing working capital are provided for up to two years.

For the full story, see the November 2017 edition of Textiles Eastern Europe. Not a subscriber? Sign up HERE