EBRD and United Kingdom join forces to back Ukrenergo
14.10.2022 20:15 "Agro Perspectiva" (Kyiv) —
EUR54.4 million in guarantees from UK to boost Ukraine’s electricity company · United Kingdom and EBRD support Ukraine’s electricity transmission company Ukrenergo · EUR54.4 million in guarantees from the UK to help provide emergency liquidity · Funds to help maintain stable power supply The European Bank for Reconstruction and Development (EBRD) is joining forces with the government of the United Kingdom to back Ukraine’s electricity transmission company Ukrenergo, helping to keep the lights on and the economy going in Ukraine. The United Kingdom, an EBRD founding member and a generous donor to the Bank, is providing a EUR54.4 million guarantee to support an EBRD loan to Ukrenergo. The war on Ukraine has triggered urgent liquidity needs. This risk-sharing support from the United Kingdom enables the EBRD to provide emergency finance to safeguard the stable functioning of the Ukrainian electricity grid, nuclear generators and renewable power plants, while maintaining power supply to industries and households. The guarantee agreement was signed by UK Chancellor Kwasi Kwarteng and EBRD President Odile Renaud Basso in Washington, DC, in the presence of Ukraine’s Minister of Finance Sergii Marchenko. «This is another important token of the United Kingdom’s trust in the EBRD’s capacity to deliver on its commitment to war-torn Ukraine and its people. We are very grateful for this partnership, which allows the Bank to respond to the pressing need of maintaining electricity services in the country,» said the EBRD President. UK Chancellor Kwasi Kwarteng, said: «The UK and the EBRD continue to stand with Ukraine, not just in our words but also in our actions. This money will help keep the lights on in homes across Ukraine in the coming months and help raise vital funds for the Ukraine government as they continue the fight against Putin’s illegal invasion.» To address the Ukrainian economy’s current challenges, the EBRD is prioritising trade finance, energy security, vital infrastructure and food security and providing liquidity to pharmaceutical companies. Investments in all areas will involve risk-sharing with partners such as the United Kingdom. The EBRD was swift to condemn the Russian invasion of Ukraine that began on 24 February and the Bank has pledged to stand by Ukraine. In early April, the EBRD Board of Governors voted to suspend indefinitely Belarus and Russia’s access to EBRD finance and expertise, and the Bank has closed its offices in both of those countries.
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