On April 14, the Ministry of Economy and the Federal Ministry for Economic Cooperation and Development of Germany signed a Joint Declaration of Intent to support industrial recovery and ensure its resilience in Ukraine.

The document reflects the parties’ shared vision of the need to restore Ukraine’s production potential, as well as to accelerate the integration of Ukrainian industry into European value chains.

As part of the implementation of the agreements, Germany, through the KfW development bank, intends to provide an initial contribution of €30 million to launch a dedicated financing program. The funds will be directed to support Ukrainian enterprises, in particular through concessional financing mechanisms for the purchase of equipment manufactured in Europe. Special emphasis is placed on enterprises whose production facilities were damaged or destroyed as a result of hostilities.

Particular attention will be paid to the modernization of production, the launch of new or relocated production lines, as well as the development of export potential and the integration of Ukrainian companies into European supply chains.

The countries plan to implement this initiative through the National Development Institution of Ukraine (NDI, formerly the Entrepreneurship Development Fund).

During intergovernmental consultations, the parties agreed on a number of additional decisions to support Ukraine. The total amount of new funding from BMZ is €233 million. The funds will be directed to strengthening energy infrastructure and emergency response capacities, training the necessary qualified specialists, as well as supporting social housing for people whose homes were destroyed or who were forced to leave their place of residence. BMZ also assists Ukraine in preparing for EU accession.

Reference source: http://surl.li/asdhjkeeruui89o